Sony Closes Factory in Japan, Cuts 2,000 Jobs at Tokyo HQ
October 19, 2012 7:02 PM
comment(s) - last by
Sony is closing factories and cutting jobs as part of its latest restructuring plan, announced in April
As part of its restructuring plan, Sony is closing a factory in Japan and will also
cut thousands of jobs
at its Tokyo headquarters.
According to Sony, it will shut down its Minokamo factory in Japan, which makes camera and mobile phone lenses. The factory contains about 840 workers that will lose their jobs at the end of March 2013.
In addition, Sony said it will invest in an early retirement plan that will reduce the employee headcount at its Tokyo headquarters by 2,000 -- or one-fifth of the HQ's workforce. This will happen by the end of fiscal year 2012.
Sony is closing factories and cutting jobs as part of its latest restructuring plan, which was announced by new CEO Kazuo Hirai back in April. The idea is to try to keep Sony afloat and competitive in the electronics market by axing about 10,000 jobs globally by March 2013. About 3,000-4,000 will be in Japan.
This restructuring will cost Sony $930 million during the fiscal year, but the outcome is expected to save the company $370 million annually.
When Hirai took over the sinking ship that is Sony back on April 1, he offered an entirely
new plan for restructuring the company
. A key idea behind the restructuring was to strengthen core businesses, including digital imaging, games and mobile. He also opted to take over the failing TV business, expand business in emerging markets, create new businesses and realign the business portfolio.
A lot of Sony's issues have to do with its TV unit, which has seen eight straight years of quarterly losses.
Last December, Sony decided to shake up its TV division by
negotiating a buyout
of its 50 percent manufacturing stake with Samsung in the LCD joint venture. It also
split its TV division into three units
consisting of sales of LCD TVs, outsourcing manufacturing to cheaper foreign facilities and developing future TVs.
More recently, in May 2012, Sony reported a
record annual loss of
$5.7 billion USD
This article is over a month old, voting and posting comments is disabled
RE: Dont screw up the PS4
10/20/2012 3:04:21 AM
I think they are just moving that factory a different location or something. Someone mentioned earth quake proofing production with multiple sites. Either that or cheaper factories someplace else China? or possibly it has to do with their recent deal with purchasing a stake in and cooperating with Olympus.
"Nowadays, security guys break the Mac every single day. Every single day, they come out with a total exploit, your machine can be taken over totally. I dare anybody to do that once a month on the Windows machine." -- Bill Gates
Sony Mobile Announces 1,000 Layoffs, Restructuring Plan
August 23, 2012, 9:34 AM
Sony Reports Record $5.7 Billion USD Annual Loss
May 12, 2012, 7:33 PM
Sony CEO Lays Out New Plans to Make Company Profitable
April 12, 2012, 11:08 AM
Sony Sells LCD Panel Joint Venture Shares to Samsung
December 26, 2011, 11:31 AM
Sony Shakes Up, Breaks Up Struggling TV Unit
November 1, 2011, 4:15 PM
Amazon Seeks FAA Permission to Test 50 MPH Flying Drones
July 11, 2014, 12:32 PM
Samsung Fails to Launch its Tizen-based Smartphone in Moscow, Unsure of New Launch Date
July 11, 2014, 9:00 AM
China's Top State-run Broadcaster Considers iOS Tracking Feature is a National Security Threat
July 11, 2014, 8:25 AM
Verizon Wireless Offers Up $100* LG G3, Will Be Available July 17
July 10, 2014, 4:21 PM
Satya Nadella Says Microsoft is a "Productivity and Platform Company" for the Mobile/Cloud World
July 10, 2014, 12:29 PM
Motorola Touts Its Moto 360 Smartwatch in Another Teaser Video
July 10, 2014, 9:26 AM
Most Popular Articles
Apple's iPhone, iPad Update iOS 7.1.2 is Badly Broken for Some
July 8, 2014, 2:00 PM
Despite Legal Threats Google Begins Posting Warnings of ISP Throttling
July 7, 2014, 5:52 PM
Google Steps up Moral Censorship, Hogties All Ads With Sexual Content
July 4, 2014, 2:00 PM
Your Uncharged Smartphone, Tablet May Prevent You from Boarding U.S.-bound Flights
July 6, 2014, 11:11 PM
Buzz Aldrin Says First Astronauts to Set Foot on Mars Should Never Return Home
July 9, 2014, 9:46 AM
Latest Blog Posts
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
Justice Leaks Details of Next HTC One Two Flagship Phone
Dec 5, 2013, 4:04 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information