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Finnish company Elcoteq shuts down plant in Western Romania, lays off 400

de Radu Rizea
Joi, 15 ianuarie 2009, 17:57 English | Business

Finnish company Elcoteq, one of the leading producers of telecomm equipment, announced that it will shut down its factory in Arad (Western Romania), where 400 people are currently employed. The company includes the move in a larger re-structuring program, which also includes the shutting down of production facilities in (USA) and St. Petersburg (Russia).

The Elcoteq boards also decided to reduce the number of employees globally, estimating 5,000 lay-offs, out of the current 21,000 personnel. Operations will continue in Mexico, Brasilia, Latvia, Hungary, India and the Czech Republic. The company expects to save between 80 and 100 million Euros as result of the plan.

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