Nokia and Panasonic Are Laying Off Thousands

In the name of aligning global workforces and consolidating site operations, Nokia will get 7,000 employees off its payroll by the end of 2012. Three thousand of them will find a home at Accenture, which will provide life support to Symbian.

The layoff will have its biggest impact in Finland (cutting 1,400 jobs), Denmark (R&D unit to be closed next year, cutting 950 jobs) and the United Kingdom (cutting 700 jobs). Nokia will also close its corporate office in White Plains, N.Y.

At Nokia, we have new clarity around our path forward, which is focused on our leadership across smart devices, mobile phones and future disruptions,” said Stephen Elop, Nokia president and CEO. “However, with this new focus, we also will face reductions in our workforce. This is a difficult reality, and we are working closely with our employees and partners to identify long-term re-employment programs for the talented people of Nokia.

Meanwhile, Panasonic plans to downsize by laying off 17,000 globally within two years.

The plan is undoubtedly being influenced by the reported 40.7 billion yen loss in Q1. The company blames high restructuring costs and devastating earthquake and tsunami that hit Japan more than a month ago. Panasonic was among those impacted by the tragedy, which disrupted operations in at least one of its factories.

Source: Nokia Press via IntoMobile / ABC News

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