Microsoft Mobile

Type
Closure
Country
Finland
Region
Manner-Suomi;
Location of affected unit(s)
Tampere & Espoo
Sector
Manufacturing
Manufacture Of Computer, Electrical Electronic And Optical Products
Manufacture Of Computer, Electronic And Optical Products
26.3 - Manufacture of communication equipment
1,350 jobs
Number of planned job losses
Job loss
Announcement Date
25 May 2016
Employment effect (start)
Foreseen end date

Description

Microsoft has announced plans to close down Microsoft Mobil in Tampere, Finland leading to 1,350 redundancies in Tampere and at the Finish headquarters in Espoo. The reason for the closure is that sales revenue for Microsoft is lower than expected. The sales and marketing division in Espoo will not be affected by the restructuring. In addition the the redundancies in Finland, up to 500 jobs will be cut globally.

Microsoft bought Nokia's mobil phone unit in 2014 and the ERM has previously reported on major restructuring within Microsoft during 2014 when 18 000 jobs were made redundant following the merger with Nokia. Moreover Microsoft cut 8000 jobs globally, including 2300 in Finland during 2015. 

Update 22/06/2017: Finland made an application to the European Globalisation Adjustment Fund (EGF) in February for EUR 3 million. The budgetary procedure started in June. The application provides for a number of tailor-made measures to serve the specific needs of the redundant workers, to develop existing or create new skills and to promote  ntrepreneurship, to increase the mobility of the redundant workers, nationally and internationally.

Sources

  • 25 May 2016: Svenska YLE
  • 25 May 2016: tivi.fi

Citation

Eurofound (2016), Microsoft Mobile, Closure in Finland, factsheet number 87718, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/87718.