Sony Mobile Communications is planning to reduce the global workforce of its mobile unit by nearly 15%, during fiscal years of 2012 and 2013, to enhance its operational efficiency, reduce costs and increase profits.
The job cuts, expected to be about 1000 personnel including consultants, are part of the company’s plans to modify the global operational structure of its development sites in Tokyo, Japan; Lund, Sweden; and Beijing, China.
The Japanese electronics manufacturer has also notified that nearly 650 employees at Sony Mobile facilities in Lund, Sweden will be affected by job closures, while the remaining will be primarily consultants in Sweden.
The company is also planning to move its corporate headquarters and other operations from Lund, Sweden to Tokyo, Japan.
The job cut also follows Sony’s conquest of full control of its mobile phone joint venture (JV) with Sweden-based Telefon Ericsson.
Sony Mobile president and CEO Kunimasa Suzuki said the company considers the mobile business as one of its core businesses and the Xperia smartphone portfolio continues to gain momentum with customers and consumers worldwide.
"We are accelerating the integration and convergence with the wider Sony group to continue enhancing our offerings, and a more focused and efficient operational structure will help to reduce Sony Mobile’s costs, enhance time to market efficiency and bring the business back to a place of strength," Suzuki said.
In the first quarter to June, Sony’s mobile products division has reported a profit of JPY28.1bn ($357m).
