The Dutch conglomerate is to cut 5% of its workforce in its healthcare division.
"Reuters" reports that Dutch conglomerate Royal Philips Electronics (NYSE:PHG, AEX: PHI) is laying off 5% of its workforce at its healthcare division as part of an accelerated cost-savings push sparked by the global economic slowdown. Company spokesman Arent Jan Hesselink said on Saturday some 32,000 workers are employed at Philips' healthcare division, which is one of the world's top three hospital equipment makers, giving a total number of 1,600 job cuts. It is believed that the conglomerate's center in Haifa, which specializes primarily in cat scan devices, will also be affected by the downsizing, with several dozen jobs to be shed out of a total workforce of 500.
A spokesperson for Philips in Haifa said, "The program is currently underway, so we are therefore unable to comment on any specific site, including the Haifa center. Philips Electronics is now working on the criteria governing the structural change, and we are more aware than ever of the profoundly personal dimension that this step entails. Philips is committed to doing whatever it can to ensure that employees affected by this process are treated fairly, professionally, and with respect."
Published by Globes [online], Israel business news - www.globes-online.com - on November 23, 2008
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