Nokia balances workforce to better meet changing business demands and dynamics
Espoo, Finland – The communications industry is undergoing a transformation, driven by convergence, increased complexity, and strong growth in emerging markets and segments. Nokia is committed to continuously renewing itself and improving its operations to meet the demands these developments present.
Accordingly, the company is now taking proactive steps to improve the focus and efficiency of some of its R&D and related sales and marketing activities and internal IT operations, and plans to adjust its workforce within these functions to reflect business needs and the geographical shift in business growth. Over the course of the next few months, the company estimates that a maximum of 700 employees globally, approximately 340 of them in Finland, will be affected by these adjustments.
Wherever possible, Nokia aims to redeploy impacted employees into new positions within the company, and also plans to introduce voluntary arrangements for employees. Where applicable, Nokia will start the consultation process with employee representatives about the planned changes.
“We have a number of positions open in Nokia, and the impacted people are naturally priority candidates for positions that match their competencies,” said Juha Äkräs, Senior Vice President, Nokia Human Resources. “We have a good track record from previous years of redeploying employees in similar situations.” In 2006, close to 10 000 people rotated into new positions across the Nokia group.
The adjustments mainly affect Nokia’s Enterprise Solutions business group, Nokia’s IT organization and part of the Software Platforms activities in Nokia’s Technology Platforms unit.
Nokia’s Enterprise Solutions plans to sharpen its focus on markets where there is greater return on investment, which will strengthen the business group’s ability to compete effectively. It is estimated that globally approximately 360 employees in Enterprise Solutions and 30 employees in Customer and Market Operations will be affected by these changes.
In Nokia’s IT organization, there is an adjustment need affecting 130 employees globally. This reflects the continuous drive for an effective operating model within the IT organisation, with a clear focus being placed on areas of greatest value and competitive advantage to Nokia’s business.
Nokia is also reviewing the Software Platforms activities in its Technology Platforms unit and planning actions to improve focus and efficiency in R&D. It is estimated that these plans will impact approximately 140 positions.