[QODLink]
Business
Sony to shed 10,000 jobs worldwide
Six per cent of staff set to lose their jobs as reorganisation aims to reduce ailing Japanese electronics giant's costs.
Last Modified: 12 Apr 2012 16:17



Sony is to cut up to 10,000 jobs worldwide as part of a major reorganisation at the Japanese electronic giant.

The announcement was made at a news conference in Tokyo on Thursday by Kazuo Hirai, the company's new chief executive.

Up to six per cent of its global workforce will lose their jobs as Sony aims to reduce costs and balance huge losses.

Hirai earlier this week announced an annual loss forecast estimated at a record $6.4bn.

He is under pressure to fix an ailing TV unit and turn around a brand that has been trampled on by US-based Apple and South Korea-based Samsung in the consumer gadgets market.

"We have heard a multitude of investor voices calling for change," Hirai told the packed news conference at Sony's headquarters.

The company expects to make the job cuts over the next 12 months.

That reduction includes staff working in businesses that are being sold, such as the company's joint venture in making flat screen displays.

Sony said it would focus its business on the areas of digital imaging, games consoles and mobile devices.

In a statement ahead of the briefing, Sony said it would post a restructuring charge of about $926m in the year to March 2013, and aim to cut its fixed costs in the TV business by 60 per cent in the 2013/14 business year from this year's levels, and trim 30 per cent off the business' operating costs.

Sony, along with other leading Japanese TV makers Sharp and Panasonic have been battered by weak demand, fierce competition and a stronger yen that makes exports less competitive.

The three companies expect a combined loss for the year just ended of $21bn - more than Sony's entire market value,
which has slumped by close to a fifth in the past month.

Source:
Agencies
Topics in this article
People
Country
Featured on Al Jazeera
An innovative rehabilitation programme offers Danish fighters in Syria an escape route and help without prosecution.
Street tension between radical Muslims and Holland's hard right rises, as Islamic State anxiety grows.
More than one-quarter of Gaza's population has been displaced, causing a humanitarian crisis.
Ministers and MPs caught on camera sleeping through important speeches have sparked criticism that they are not working.
Featured
Influential independence figure has been key in promoting Scottish nationalism, but will his efforts succeed?
Teenage phenom with quick hands and a passion for boxing has reminded many of the great Filipino fighter at a young age.
Families of Britons killed in 2013 siege at gas plant in Algeria frustrated by inquiry delay over 'sensitive' materials.
Rhinoceros beetles once drew 40,000 visitors each year to Tamura city, but nuclear disaster has decimated beetle mania.
In run-up to US midterm elections, backers of immigration law changes disappointed by postponement of executive action.
join our mailing list