A huge number of 15,000 jobs cut down all over the world, has been announced by Panasonic. It is done as a cost cutting measure.
Makoto Uenoyama, Panasonic’s director said, “Sales fell in all our business segments in the third quarter. We expect sharper sales declines in this quarter, and profits are likely to shrink in every segment.”
Most of the Panasonic employees who will lose their jobs are in Japan. Almost 50% from Japan and the rest 50% will be world over. In UK, most of the people working for Panasonic are at Wales. There Panasonic has 1,000 employees in Cardiff and 500 employees in Newport.
The decision was taken by the company due to the huge profit decline it is currently facing.
It is said that Panasonic will be recording loses in the region as 30 billion yen i.e. 2.9 billion pounds. By cutting down the jobs, the company is expected to save almost 100 billion yen i.e. 10 billion pounds in the next fiscal year.
Panasonic is not the only company that is going for job cut down option in order to reduce its overheads. But to say, 15,000 is a large number of employees. Economical experts suggest that never go for expense cut down, instead increase your income.
Recently a big number of employees sending home have been heard from Microsoft. Motorola too has adopted the jobs cut down policy. that may jobs cutting down not adopt the form of a fashion, we fear intead of an unlikely loss preventing measure.