Wednesday, November 7, 2012

Ericsson to Cut 1,550 Jobs in Sweden

Ericsson plans to eliminate about 1,550 positions in Sweden, covering all job areas, including sales, general and administration, research and development, supply and service delivery.

The majority of cuts will hit Ericsson's Networks unit, but all parts of the organization in Sweden are to some extent affected, impacting all its Swedish sites except Falun, Hudiksvall, Kalmar and Katrineholm.

"It is naturally a difficult message for our employees in Sweden," says Tomas Qvist, head of Ericsson's Human Resources in Sweden. "We must ensure that we can continue to execute on our strategy to maintain our market leadership, invest in R&D and meet our customers' needs. To secure this we need to focus on reducing cost, driving commercial excellence and operational effectiveness. This will enable us to secure our future competitiveness.

  • In October, the European Investment Bank (EIB) announced a loan of EUR 500 million to Ericsson to support its R&D efforts for the next generation of mobile broadband technology.  The load is designated for research sites in Sweden and Finland.
  • Ericsson's total number of employees at the end of Q3 2012 was 109,214, up from 108,095 in the prior quarter due to the addition of service professionals mainly in India and the acquisition of Technicolor Broadcast Service Division.

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