Verizon Layoff, Ericsson Layoff

Posted by Kris | Tuesday, January 26, 2010 | | 0 comments »

Things don't look so rosy yet in the US. Layoff is still the buzz word once the company goes into the RED. Even the big names are not spared.

Verizon to Cut More Than 10,000 Jobs After Sales Miss Estimates

Jan. 26 (Bloomberg) -- Verizon Communications Inc., the second-largest U.S. phone company, plans to cut more than 10,000 jobs at its fixed-line unit this year after posting fourth- quarter sales that missed analysts’ estimates.

The company plan to keep cuts at the same level as last year, when it reduced 13,000 positions, or about 9 percent of the unit’s workforce, Chief Financial Officer John Killian said on a conference call today. The business had about 117,000 workers at year-end.

Swedish telecom giant Ericsson on Monday reported a 92 percent drop in net profits for the fourth quarter, adding that it would now cut 6,500 jobs under its restructuring plan.

In a sign of the impact of the economic crisis on the telecom industry, Ericsson's net profit plunged by 92 percent to 314 million kronor ($43.4 million) between October and December.

That was in contrast to a net profit of 3.89 billion kronor in the same period of 2008, the company said in a statement.