Ericsson to axe 1,200 staff
March 25, 2024
Ericsson, as previously outlined, expects a challenging mobile networks market in 2024, with further volume contraction as customers remain cautious. In line with managing lower volumes, Ericsson has announced staff reductions in Sweden. The company says the measure “is part of the global initiatives to improve the cost position, including headcount reductions, while maintaining investments critical to Ericsson’s technology leadership”.
Initiatives to increase operational efficiency will continue during 2024 but will not be announced separately.
In addition to the headcount reduction, the cost saving initiatives cover various areas such as reduction of consultants, streamlining of processes, and reduced facilities, while Ericsson says it maintains its strategy to achieve a higher growth trajectory and to reach the long-term margin targets, through leadership in mobile networks and a focused expansion into enterprise.
As part of these ongoing global initiatives, Ericsson has now announced the lay-off of approximately 1,200 staff in Sweden. The Company has initiated negotiations with the unions.