Alcatel-Lucent (ALU) cuts 15000 jobs to save costs

Telecom network equipments manufacturer Alcatel-Lucent (ALU) all set to cut 15000 jobs worldwide to save costs and turn it’s fortune around. This is one of the last round of effort from the telecom giant to turn profitable.

Alcatel Lucent Layoffs

Out of 15000, ALU will cut 10000 workforce only in North and South America and rest of the layoffs will happen in Europe and rest part of the world.

Alcatel-Lucent has it’s headquarter in Paris and before announcing officially CEO Michael Combes reportedly briefed French government officials on the cuts. Around 900 jobs will be lost in France alone. France has very strong labor unions and country’s CFDT union has said it will fight for changes to the company’s plan.

While announcing the company’s future plans CEO Michael Combes said, “The strategic choices we made have been validated by our customers. To carry out this plan we must make difficult decisions and we will make them with open and transparent dialogue with our employees and their representatives.”

Alcatel-Lucent want to invest in high-growth areas ranging from 4G mobile to high-speed broadband, and to lower fixed costs by more than 15 percent, saving a total of 1 billion Euros ($1.36 billion).

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