Jobs to go at Lenovo
Vendor reveals job cuts in the pipeline to 'strengthen global competitiveness'
Lenovo has revealed it will cut 1,000 jobs over the next six to 12 months as part of an action plan to strengthen its global competitiveness and increase operational efficiency.
Through the plan, the company expects to achieve annual end-to-end run-rate savings of $250m.
William Amelio, president and chief executive officer of Lenovo, said in a statement: "Our plan integrates Lenovo’s global sales organization and back-office support into one highly responsive customer-service unit, and ensures that, where it makes sense, teams are centralized for better performance and efficiency."
The redundancies will account for about five per cent of Lenovo's global workforce, and will affect employees across the Americas, Asia/Pacific and EMEA.
"The resource reductions that are part of this plan are, without question, the most difficult part of our program. We have thoroughly examined Lenovo's competitive position, and it’s clear that for the future of the company, we have to take these actions. We will work with affected employees during the transition period and provide both financial and career-transition assistance," said Amelio.