Nortel Networks Corp. www.nortel.com today announced it intends to reduce its workforce by an additional ...
February 25, 2009
Nortel Networks Corp. www.nortel.com today announced it intends to reduce its workforce by an additional 3,200 positions worldwide.
The company, which filed for bankruptcy protection last month, expects to carry out these reductions over the next several months, in accordance with local country legal requirements. These new reductions are incremental to the 1,800 remaining reductions from previously announced plans that require completion.
“There is nothing more difficult than notifying employees, and Nortel is extremely conscious of the personal financial burden this will cause affected employees and their families,” said Mike Zafirovski, Nortel president and CEO.
The company said in a statement that with the unprecedented economic environment and resultant impacts on revenues, significant changes are required to regain our financial footing: “Tough decisions are being made to restructure the company and work towards a successful emergence from creditor protection.”
Nortel said it is in the process of preparing a comprehensive business and financial restructuring plan with the goal of emerging from the creditor protection process as a more focused and competitive company.