Nortel says it will cut an additional 3,200 positions worldwide, on top of the previously announced 1,800 cuts.
The company expects to make the reductions over the next several months.
“There is nothing more difficult than notifying employees, and Nortel is extremely conscious of the personal financial burden this will cause affected employees and their families,” said Mike Zafirovski, Nortel president and CEO, in a statement. “But with the unprecedented economic environment and resultant impacts on revenues, significant changes are required to regain our financial footing. Tough decisions are being made to restructure the company and work towards a successful emergence from creditor protection.”
Nortel’s board also approved management’s recommendation to not pay any bonuses under its incentive plan for 2008.
Nortel filed for bankruptcy protection last month, when it also announced it would exit the mobile WiMAX business, ending a venture it had with Alvarion.
Filed Under: Infrastructure