By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
BeFirsTrankBeFirsTrank
  • Home
  • Car Reviews
  • Auto Shows
  • Bike Reviews
  • Future
  • New Car
  • Used Car
  • Contact Us !
Reading: ZTE Said to Slash About 3,000 Jobs
Share
Aa
Aa
BeFirsTrankBeFirsTrank
  • Home
  • Car Reviews
  • Auto Shows
  • Bike Reviews
  • Future
  • New Car
  • Used Car
  • Contact Us !
Search
  • Home
  • Car Reviews
  • Auto Shows
  • Bike Reviews
  • Future
  • New Car
  • Used Car
  • Contact Us !
Have an existing account? Sign In
Follow US
© 2023 BeFirsTrank News Network
News

ZTE Said to Slash About 3,000 Jobs

srijita
Last updated: 2017/01/12 at 3:57 PM
By srijita 4 Min Read
Share
SHARE

ZTE Said to Slash About 3,000 Jobs

Chinese telecom equipment maker ZTE, which is facing US trade sanctions that could severely disrupt its supply chain, is slashing about 3,000 jobs, including a fifth of positions in its struggling handset business in China, company sources said.

The sources said the Shenzhen-based company, one of the world’s biggest telecoms gear makers, is axing about 5 percent of its 60,000 global workforce.

Its global handset operations will shed 600 jobs, or 10 percent of the total, with the cuts concentrated in China, where it has been losing market share.

“Cuts in the handset business in China will be beyond 20 percent,” said a senior executive who has been briefed on the lay-offs, which are scheduled to be completed within the first quarter.

A local manager in one of the company’s overseas branches said a 10 percent quota was given to shed staff in his department by the end of January.

“I was also given names that must go because they had tried to apply for jobs at (rival) Huawei and are therefore branded as ‘unstable factors’,” said the manager, who is not in the handset unit and asked not to be identified.

The company declined to comment.

ZTE is the only Chinese smartphone vendor with a meaningful presence in the United States, where its 10 percent market share makes it the fourth-largest vendor.

The US Commerce Department first announced in March that it would impose a ban on exports by US companies to ZTE for allegedly breaking Washington’s sanctions on sales to Iran.
The ban has not yet come into effect following a series of reprieves, the last of which expires on Feb. 27, but if it does go ahead, the company’s supply chain could be severely handicapped. It relies on US companies including Qualcomm, Microsoft and Intel for about a third of its components.

The uncertainty hanging over the company weighed heavily on its business last year, with its worldwide smartphone shipments falling 11.8 percent compared with 2015, according to industry database IDC.

ZTE chairman Zhao Xianming said in his New Year speech to staff that the company, which has annual sales of more than $15 billion (roughly Rs. 1,02,241 crores), had “encountered its biggest crisis in its 31 year history”, according to a transcript on the company’s official WeChat account.

He vowed to enhance internal auditing and said the company was streamlining its management structure.

“In 2017 … businesses that don’t fit our strategic direction or with low output performance will be shut, suspended, merged or reconfigured, improving the company’s core competitiveness,” Zhao said.

Internal memos seen by Reuters show the company also created four new senior vice president positions in charge of investment, internal audit, compliance, and tax, respectively.

Revenues for infrastructure vendors like ZTE are also being squeezed as Chinese telecom operators’ 4G networks near completion and revenues from 5G development remain some years off.

[“source-ndtv”]

You Might Also Like

Beyond the Map: What Modern Vehicle Tracking Can Do for Your Business

What Should My Video Game Room Have?

From Traditional Payments to Innovative Solutions: How Car Insurance Is Adapting to Modern Needs

Step by Step in Selling Your Car Online

Why Use BMW Km Stopper?

TAGGED: 3000, About, Jobs, Said, Slash, to, ZTE
srijita January 12, 2017
Share
Previous Article Honor 6X to Be Exclusively Available via Amazon India; Launch Date Confirmed
Next Article Moto G5 Plus Image Leaked; Appears Identical to Previously Leaked Moto X (2017)

Calendar

May 2025
M T W T F S S
 1234
567891011
12131415161718
19202122232425
262728293031  
« Apr    

Latest Trending News

  • Over the Next Ten Years, the Used Car Industry May 8, 2025
  • Beyond the Map: What Modern Vehicle Tracking Can Do for Your Business May 3, 2025
  • What Should My Video Game Room Have? April 28, 2025
  • Personalized advertising fuels growth and drives competitiveness for European businesses April 28, 2025
  • Personalization, AI, and the future of retail April 14, 2025
  • Europe’s New Car Buyers and Selected Sustainability April 8, 2025
  • Motor SRC 500 Review: A Powerful Cruiser April 4, 2025

© 2023 Befirstrank News Network. All Rights Reserved.

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?