Siemens to Cut 7,800 Jobs Worldwide

[OhioChick]

Source: NYT

FEB. 6, 2015

FRANKFURT — Siemens, one of Germany’s flagship industrial companies, said on Friday that it planned to cut 7,800 jobs, or 2.3 percent of its work force worldwide, as it eliminates layers of management in an attempt to become as profitable as its main competitors.

About 3,300 of the job cuts will be in Germany. Over all, the company’s staffing levels will remain stable worldwide, it said, because Siemens will invest about 1 billion euros, or about $1.1 billion, in improving its sales force and in research and development. Siemens has about 340,000 employees worldwide, including 46,000 in the United States and Puerto Rico.

Joe Kaeser, the Siemens chief executive, had signaled last week that job cuts were likely after the company reported a 25 percent fall in net profit in the last quarter of 2014.

The job cuts are part of a broader reorganization, announced last year, which included reducing the number of its main business units to 10 from 16. Siemens has often faced criticism for being too bureaucratic and slow-moving.

Read more: http://www.nytimes.com/2015/02/07/business/international/siemens-job-cuts.html

[leveymg]

1. This follows Microsoft's similar global cuts a few months ago.

This industry and some others appear to be ratcheting down again.

http://topics.nytimes.com/top/reference/timestopics/subjects/l/layoffs_and_job_reductions/index.html
Chronology of Coverage

Feb. 3, 2015

Canadian oil sands companies are trying to stem losses as crude prices drift near seven-year lows; big firms like Suncor and Shell Canada are cutting jobs, but new projects in industry will increase oil sands production by 25 percent, to 4.8 million barrels daily in 2015; biggest concern is whether companies can break even at current prices. MORE
Jan. 23, 2015

DreamWorks Animation says it will cut its movie production and lay off 500 employees, or 19 percent of its staff. MORE
Jan. 22, 2015

American Express announces plans to cut around 6 percent of its total work force, or more than 4,000 jobs, in 2015 as part of effort to improve efficiency; company reports 11 percent gain in fourth-quarter profit. MORE
Jan. 22, 2015

EBay announces plans to cut 7 percent of its work force, or 2,400 positions globally, in effort to address slowed growth in auctions due to competition. MORE
Jan. 20, 2015

Plummeting oil prices have cast pall over gleeful mood in Midland, Texas, and elsewhere in state's oil belt; companies are scaling back projects and announcing layoffs; residents, long accustomed to cycles of boom and bust, are rolling out alternative plans to earn side income and save money. MORE

[DreamSmoker]

2. This is what always happens with Trickle Down Economics..

From thew days of Reagan to today..
We the Middle Class are still paying though the nose...
The Top 500 companies in America are sitting on $2 Trillion in Profits..
But Very little or no Job creation..
Remember how many Republicans all these years have backed the Corporate side saying how the way for America to move forward is clear the way for the Job Creators...
Its was Bullshit when Reagan said it..
Its Bullshit today as well...

[closeupready]

3. Years ago (right after the Wall fell), I met an engineer who worked in their Berlin HQ.

He was a good guy - I'm not sure what happened to him, we lost touch. He's probably very rich and very retired now, even though he wasn't any older than me.

[GreatGazoo]

4. just went to EPCOT and Siemens was all over that place as a sponsor

The Ellen Degeneres energy thing (with dinosaurs and Jeopardy) is now 19 years old and very tired. Looks like Siemens and Disney haven't spent a dime on that park in many years.

Aside: With the announcement that Disney is looking to open a theme park based on Star Wars, I am wondering is EPCOT will be transformed into the new park (?)