Siemens CEO draws restructuring to a close with 7,800 job cuts

FRANKFURT (Reuters) – German industrial group Siemens plans to cut 7,800 jobs worldwide, or about 2 percent of its workforce, to complete a wide-ranging restructuring of the company, it said on Friday.

About 3,300 of the jobs lost will be in Germany, where the trains-to-turbines group employs 115,000 people.

Siemens said the cuts – which will eliminate layers of management structure and are designed to speed up decision-making – would save it about 1 billion euros ($ 1.14 billion), which it would reinvest for growth.

It said most of the productivity gains would be realized by the end of 2016.

“Our Vision 2020 concept will enable us to get our company back on a sustainable growth path and close the profitability gap to our competitors,” said Chief Executive Joe Kaeser, who took over in a boardroom coup in 2013.

Siemens added that it had hired more than 11,000 people since the start of its fiscal year in October.

A source familiar with the matter had said on Thursday that Siemens planned to cut more than 7,000 jobs.

(Reporting by Georgina Prodhan; editing by Thomas Atkins)

You may also like...

Rules of Discussion on Siemens CEO draws restructuring to a close with 7,800 job cuts

1. This forum is for discussion of financial markets. Please respect others view even if they are contrary to you.
2. Member's comments should lead to value addition in forum discussion.
3. If anyone is found making repetitive Explicit/Abusive/Racial comments, his account shall be banned and old posts will be deleted.
4. Providing Advice/Recommendations/Tips is fine but it should be free. Members cannot ask to be paid for it. Paid Advice is stricly prohibited
5. Spam links are not allowed. Self-promotion once a week is allowed. Too much promotion or using Contact info in ID will lead to account ban.