We have talked extensively about the troubles facing Sony’s mobile division, and unfortunately those poor results cannot continue forever without consequence, and that typically means more cost cutting. One area that is feeling the brunt of this is Sony Mobile’s operations in Lund, Sweden. We saw several local reports surface a few weeks back, and we have since confirmed this with a number of our own contacts.
Sony is planning to cut around 200 jobs in Lund – there are around 800 full-time staff overall. Publicly, Sony says it has 1,200 people working in Lund but this number includes consultants. In addition, this larger number includes employees who work for other divisions in Sony, outside of mobile. Sony is looking to halve its mobile business costs over the next few years.
“It is clear that Lund will be affected by cost savings. But how it goes and what kind of costs it will be about, we cannot say yet, because the work is still underway to look at all cost components,“said Stefan Olsson (Deputy Chairman of Sony’s Lund operations).
Olsson went on to say “we have announced 200 services. I see it as being at risk of being dismissed, but hope it will be fewer. The goal is for everything to be negotiated and that individual individuals are informed until March 2019”.
It must be a an uncertain time for Sony Mobile’s Lund employees, so our thoughts go out to them in what must be a difficult time.
ที่มา: 8to5 (via Xperia Blog)
Sony Mobile now confirms for 8to5 that Lund will be affected when the Group halves its mobile business costs over the next few years. However, how many services that disappear are too early to say, according to the company.
“It is clear that Lundasajten will be affected by cost savings. But how it goes and what kind of costs it will be about, we can not say yet, because work is still underway to look at all cost components, “says Stefan Olsson, deputy chairman of the company’s business in Lund.
He does not want to go into what type of services will be affected or how many employees are at risk of losing the job.
– We do not comment on the effects of the cost reduction until we know it. Everything else just becomes speculation and we want to avoid it.
All he can say is that no notice of termination has yet to be made.
The reason for the upcoming savings package is that the sales of Sony’s mobile phones show a strong impact. The forecast for this year’s sales has been adjusted down from 13.5 million phones sold last year to just seven million this year.
Therefore, already planned savings within Sony Mobile Communications will increase, both in scope and tempo. It announced Group Management in Japan when the quarterly report for July-September was presented earlier this week.
“In the last quarterly report, we said that the company would make a 30% reduction in operating costs in mobile phone. The change in the new quarterly report is that there will be a 50 percent reduction, due to a decline in sales, says Stefan Olsson.
Read more: After braking loss: Sony Mobile in Lund is seen with lupp
However, exactly what it means to all those working in the mobile phone business in Lund is hard to say, because it is unclear how many employees the company has there, and how much of the staff costs the staff.
The only thing Sony wants to say officially is that they employ 1,200 people in Lund, but that figure accommodates both employees and consultants. Additionally, people who work for other companies within the Sony group also include the mobile division.
“We have started a work with a strategic review of the entire Sony Mobile business and looking at different cost types to reduce them. It is important not to conclude that a 50% cost reduction also means a 50% reduction in personnel, “says Stefan Olsson.
So, there may be more or less than 50 percent of Lund employees forced to quit?
– There is no number, but a strategic review of the business is ongoing to see exactly what needs to be done.
Can you at least say how many of the 1,200 employed in Lund are employed in the mobile division and are therefore affected by the savings package?
“No, it’s a principle that Sony does not specify how the 1,200 is distributed on the palette of different companies working in Lund or how many employees and consultants.
The management in Lund also does not want to be interviewed about the savings package, but all questions are answered to the point by Stefan Olsson, who resigned as prime minister on Thursday morning after the former press officer ceased.
– The focus is internally on the strategic review. As soon as there is something to say, you will communicate, how it will affect Lund. Until then, there is no point in speculating before the analysis is complete, he says.
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