The two factories were picked up by Microsoft when it bought Nokia’s handset division last year for $US 7.2 billion (about $9.2 billion). It announced in July that it would shed 18,000 jobs.
A Dow Jones Newswires report pointed out that Microsoft was not alone in pulling labour out of China. Recent high profile examples of factory closures include Japan’s Citizen’s decision to close a watchmaking factory and lay off over 1,000 workers.
Mary Jo Foley, a long-time Microsoft watcher writing for ZDNet, noted that the report didn’t spell out whether the 9,000 Microsoft redundancies were in addition to earlier announcement of 18,000 job losses.
A Microsoft spokesperson told ZDNet that “these [were] a part of previously announced cuts.”
- Foreign capital exiting China at an accelerated pace (chinadailymail.com)
- China’s protectionism, unpredictable laws, unreliable suppliers and intimidation tactics create uncertainty for foreign companies (chinadailymail.com)
- Massive spending won’t make China’s Asia dream come true; money can’t buy respect (chinadailymail.com)
- Can China break the vicious circle of economic slowdown and foreign capital exodus? (chinadailymail.com)
- China’s wage inflation forcing foreign firms to look at Southeast Asia (chinadailymail.com)
- Report: Microsoft To Cut About 9,000 Jobs From Nokia Factories In China (wmpoweruser.com)
- Microsoft in China – To cut 9,000 Nokia jobs (jobmarketmonitor.com)
- Microsoft will shut down two manufacturing plants in China (geekwire.com)
- Microsoft Fires Another 9,000 ex-Nokia Employees, now in China (communities-dominate.blogs.com)
- Nokia CEO talks about Nokia’s devices plans & how it can support Digital India program (nokiapoweruser.com)
- Nokia CEO: Nokia design NOT sold to Microsoft, Back to consumer products maintaining Nokia FEEL in ALL products (mynokiablog.com)
Categories: Manufacturing & Industry