Siemens to slash 7,800 jobs worldwide
German industrial giant unveils plan to save over $1bn by 2016.
Siemens has announced plan to cut 7,800 jobs worldwide as part of its drive to make EUR 1bn ($1.13bn) in administrative and overhead savings that will be reinvested in innovation, productivity and growth initiatives.
The German giant currently employs around 343,000 people globally, a third of them in Germany where 3,300 jobs will go by 2016.
"Our Vision 2020 concept will enable us to get our company back on a sustainable growth path and close the profitability gap to our competitors,” said Joe Kaeser, President and CEO of Siemens.
“Our strategic reorientation has enabled us to considerably streamline our organization and remove entire intermediate levels.
“These steps will bring our businesses closer to our customers and make us significantly faster. As a result, certain tasks and functions will be completely eliminated.
“We're going to tackle this challenge together and implement the resulting measures responsibly. This completes the restructuring of our company in line with the new organizational setup of October 1, 2014."
Job losses were widely anticipated but are not as severe as the 10,000 some had predicted.