Nokia announces voluntary personnel initiatives, introducing Voluntary Resignation Package
Written by Nokia
Tuesday, 24 February 2009
Nokia continues to increase cost-efficiency and adapt operations to market situation
February 24, 2009
Nokia announces voluntary personnel initiatives, introducing Voluntary Resignation Package and encouraging sabbaticals
Espoo, Finland - As part of its previously announced plans to increase cost-efficiency and adapt to the challenging market environment, Nokia today announced new voluntary measures aimed at reducing personnel-related costs and lessening the need for involuntary redundancies. The initiatives announced today include the global Voluntary Resignation Package and wider use of short-term unpaid leaves and sabbaticals. Nokia also encourages employees to take holiday as time off instead of taking cash compensation in 2009.
"The response from employees and employee representatives in proposing ideas to help reduce personnel-related costs has been encouraging. We have considered these and are now announcing voluntary initiatives that could contribute to our efforts to adjust our cost base to the current market environment. If successful, the voluntary initiatives will lessen the need for involuntary redundancies," said Hallstein Moerk, Nokia's Head of Human Resources.
The global Voluntary Resignation Package will be made available for employees worldwide, with the exception of direct labour and senior executives. The terms and conditions of the package are in accordance with local practices and legislation. The Voluntary Resignation Package will be open for application from March 1 until 1,000 employees have applied, closing at the latest May 31, 2009.
During 2009, Nokia will also grant short-term unpaid leaves and sabbaticals of, for example, one month, more freely where operations allow and business continuity is not jeopardized. Furthermore, during 2009 the company will also encourage employees not to "cash in" their holiday but to take their holiday as time off, as it is intended.
Terms and implementation of all these schemes are subject to local practice and legislation.
These measures are part of Nokia's previously announced plans to adjust its business operations and cost base according to market demand and safeguard future competitiveness. Nokia continues to seek savings in operational expenses, looking at all areas and activities across the company.
About Nokia
Nokia is the world leader in mobility, driving the transformation and growth of the converging Internet and communications industries. We make a wide range of mobile devices with services and software that enable people to experience music, navigation, video, television, imaging, games, business mobility and more. Developing and growing our offering of consumer Internet services, as well as our enterprise solutions and software, is a key area of focus. We also provide equipment, solutions and services for communications networks through Nokia Siemens Networks.
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