Ericsson announced plans to trim approximately 3,000 positions in Sweden, including about 1,000 positions in production, approximately 800 in R&D and approximately 1,200 in other operations. The job reduction represents about 19% of its current workforce of 16,000 employees in Sweden.
"Ericsson is going through a large transformation. We continue to have a strong focus on R&D, and since many years, most Ericsson employees work in software development and services, rather than hardware production. The measures are necessary to secure Ericsson's long term competitiveness as well as technology and services leadership," stated Jan Frykhammar, President and CEO, Ericsson.
The company said the cuts will come through voluntary separation, forced reductions and outsourcing. Ericsson intends to make significant reductions in operations in Borås and Kumla.