Nokia Siemens Networks (NSN) has disclosed plans to shut down its plant in Bruchsal, Germany. The 50-50 wireless network joint venture between Nokia Oyj and Siemens AG announced its cost-cutting plan, as part of which it will lay off a quarter of its staff (around 650 positions) and sell product lines to focus on mobile broadband, according to a report by Reuters.
With this restructuring, the mobile network equipment maker expects $1.3 billion in cost savings by 2013-end. Workers at the Bruchsal plant were apprised of the plan on Tuesday, according to a spokeswoman for NSN.
“Our plan is to work with the labour council there to close the plant as soon as possible, at the latest by the end of 2013,” WSJ quoted the spokesperson as saying.
So far, Nokia Siemens has cut 13,000 jobs this year, besides five divestments amid heavy industry competition.
