Siemens Layoffs: German Technology Company Likely To Lay Off 5,000 Employees in Automation Business After Downturn
Siemens may to lay off up to 5,000 employees in its factory automation sector amid declining profits and re-engineering efforts.
New Delhi, November 15: Siemens, the German technology company, will likely lay off thousands of employees due to ongoing struggles. According to reports, the company is expected to lay off up to 5,000 employees in its factory automation business. The job cuts can be seen as a decline in profits. CEO Roland Busch has indicated that these job cuts are part of necessary re-engineering efforts to address developments.
As per a report of Reuters, Siemens could lay off up to 5,000 employees worldwide in its struggling factory automation business. The announcement was reportedly made by CEO Roland Busch. However, no final figure for job reductions has been confirmed yet. The company's recent financial results revealed a 46 per cent drop in profit within its digital industries division. AMD Layoffs: NVIDIA-Rival Faces Announces Laying Off 1,000 Employees From Global Workforce To Align Resources, Focus on AI Chip Development.
Busch reportedly said that re-engineering is sometimes necessary when developments do not meet expectations, as per a report of India Today. The comments suggest that strategic changes are needed to address challenges and align the company with its goals. Busch's statements highlight the importance of making adjustments to the strategy when things are not going as planned.
In the fourth quarter of the financial year 2024, the company's results showed how global geopolitical and macroeconomic challenges affected its performance. Even with these tough conditions, Siemens did well in its Industrial Business sector, making EURO 3.1 billion with a profit margin of 15.5 per cent. This indicates that the company managed to maintain a strong performance despite the challenges surrounding it. Boeing Layoffs Begin: US-Based Aviation Giant Starts Issuing Notices to Employees As Par of Its Plan To Reduce 17,000 People, 10% of Workforce.
The company has a workforce of 70,000 people working in digital industries around the world. Busch also highlighted that Siemens is dedicated to achieving growth over the long term. According to reports, Siemens expects slight macroeconomic growth in the next year. There are several risks that could affect the manufacturing sector, such as trade disputes, overcapacity, and a decrease in consumer demand.
(The above story first appeared on LatestLY on Nov 15, 2024 06:56 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).