Nokia To Pinkslip 230 R&D Employees
November 21, 2009 by Sanjay
World leader in mobile telecommunications, Nokia Inc, has begun to feel the heat of competition from the likes of Apple and RIM. The company has announced that it is giving the pinkslip to about 330 employees of its R&D division.
These employees were working at the company’s Oulu site in Finland and Copenhagen site in Denmark. They comprise about 2% of the company’s total R&D workforce.
Though the company continues to occupy the numero uno position in mobile phone instruments, it has notched a net decline by 15% of the smartphone market share in Q2 2009 compared to its near monopoly stranglehold of 50% in Q2 2008. By contrast, Steve Job’s Apple has overtaken Nokia in terms of profits, and has notched USD 1.6 billion in profits in Q3 2009 compared to Nokia’s USD 1.1 billion. Nokia’s balance sheet has shown a net loss of USD 832 million in this same quarter, mostly on the back of a weak Nokia-Siemens performance, which manufactures network equipment.
The company has announced appropriate voluntary severance packages in consultation with employee representatives.
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