Last Update: February 25, 2023, 08:52 IST
Ericsson provides equipment for high-speed 5G wireless networks.
Swedish telecoms equipment maker Ericsson said on Friday it is cutting 8% of its global workforce as it looks to reduce costs, the latest in a wave of tech company layoffs.
STOCKHOLM: Swedish telecoms equipment maker Ericsson said on Friday it is cutting 8% of its global workforce as it looks to reduce costs, the latest in a wave of tech company layoffs.
The Stockholm-based company, which provides equipment for high-speed 5G wireless networks, said it expected to lay off 8,500 employees this year and cut its spending to 9 billion Swedish kronor ($857 million) by 2024. The end of this year as part of the reduction strategy.
“We aim to manage the process in each country with fairness, respect, professionalism and in line with local labor legislation,” Ericsson said in a statement.
In December, the company had announced an emphasis on cost reduction. It said Friday it expects to see results in the second quarter as it moves to simplify and become more efficient, including reducing its workforce of about 105,000 people worldwide.
“We are also working on our service delivery, supplies, real estate and IT. We have already started implementing and accelerating various initiatives to help us reach our cost reduction target, Ericsson said.
It comes as tech companies, ranging from Spotify and Amazon to Microsoft and Facebook parent Meta, have each slashed thousands of jobs in recent months. They’ve been hiring for the past several years as demand for their products, software and services surged with millions of people working and studying remotely during the COVID-19 pandemic.
Last month, Ericsson reported a profit of $1.86 billion and revenue of $26.93 billion for 2022.
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(This story has not been edited by News18 staff and is published from a syndicated news agency feed)