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© Nokia Electronics Production | September 29, 2011

Nokia to close Cluj facility, 3'500 layoffs in total

Nokia takes additional actions to align its workforce and operations. Cluj (Romania) will close; Salo (Finland), Komarom (Hungary) and Reynosa (Mexico) will see workforce reductions in 2012. All measures will affect 3'500 staff.
- Nokia plans to close its manufacturing facility in Cluj (Romania) by the end of 2011, as Nokia's high-volume Asian factories provide greater scale and proximity benefits.

- Review the long-term role of its manufacturing operations in Salo (Finland), Komarom (Hungary) and Reynosa (Mexico). These factories are expected to continue to play a key role in serving European and North American smartphone customers, but the plan is to gradually shift their focus to customer and market-specific software and sales package customization. It is estimated this would have an impact on the number of personnel in 2012, with no impact in 2011. Nokia will engage in discussions with employee representatives and stakeholders in these sites, and expects to have more visibility into the possible headcount impacts in the first quarter of 2012.

Nokia plans to concentrate its Location & Commerce development efforts in Berlin, Boston, Chicago and other supporting sites, and plans to close its operations in Bonn (Germany) and Malvern (US).

Nokia is also starting consultations with employees in Sales, Marketing and Corporate Functions, in line with Nokia's earlier announcement on April 27, 2011.

The planned closure of the Cluj factory combined with adjustments to supply chain operations is estimated to impact approximately 2,200 employees. The planned changes in the Location & Commerce business are estimated to impact approximately 1,300 employees. These personnel reductions are in addition to the measures announced in April and are expected to take effect by the end of 2012.

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