Alcatel cuts 400 jobs in Canada
By InBusiness Media Network
Alcatel Canada announced 400 layoffs on Tuesday afternoon. The majority of the job losses will occur at its Kanata operations.
About 350 Alcatel employees in Kanata will be affected. The cuts bring Alcatel's local workforce to approximately 2,275 employees. The 350 layoffs represent 15 per cent of Alcatel's local workforce.
About 200 employees were handed pink slips on Tuesday. The other 200 jobs are secure until Alcatel Canada can secure a contract to outsource some of its manufacturing operations.
In a tersely worded statement, the company said: "To address the continuing economic slowdown in the telecommunications networking industry, Alcatel Canada announced an acceleration of its cost management initiatives in Canada.?
On Sept. 20, the French telecom equipment maker Alcatel announced another 10,000 job cuts over the next 15 months. That was in addition to 10,000 announced three months ago. The two announcements amounted to a 24 per cent reduction from the 83,000 employees Alcatel employed worldwide in June. The initial layoffs are expected to push the payroll below 80,000 by the end of the year. By the end of 2003 the workforce is expected to total about 60,000.
The announcement came with a warning that revenues for this fiscal year will fall by about 36 per cent from last year to around US$15.9 billion. Revenues in the current quarter will fall 15 per cent from the second quarter as telecom customers continue to reduce or defer spending.
By InBusiness Media Network
Alcatel Canada announced 400 layoffs on Tuesday afternoon. The majority of the job losses will occur at its Kanata operations.
About 350 Alcatel employees in Kanata will be affected. The cuts bring Alcatel's local workforce to approximately 2,275 employees. The 350 layoffs represent 15 per cent of Alcatel's local workforce.
About 200 employees were handed pink slips on Tuesday. The other 200 jobs are secure until Alcatel Canada can secure a contract to outsource some of its manufacturing operations.
In a tersely worded statement, the company said: "To address the continuing economic slowdown in the telecommunications networking industry, Alcatel Canada announced an acceleration of its cost management initiatives in Canada.?
On Sept. 20, the French telecom equipment maker Alcatel announced another 10,000 job cuts over the next 15 months. That was in addition to 10,000 announced three months ago. The two announcements amounted to a 24 per cent reduction from the 83,000 employees Alcatel employed worldwide in June. The initial layoffs are expected to push the payroll below 80,000 by the end of the year. By the end of 2003 the workforce is expected to total about 60,000.
The announcement came with a warning that revenues for this fiscal year will fall by about 36 per cent from last year to around US$15.9 billion. Revenues in the current quarter will fall 15 per cent from the second quarter as telecom customers continue to reduce or defer spending.
