Lenovo cuts 550 jobs across Europe

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Lenovo cuts 550 jobs across Europe

Paul Kunert

Lenovo is understood to be making around 550 job cuts across Europe including 40 positions in the UK and has started informing those affected that their roles are at risk of redundancy.

Last month, the Chinese PC giant confirmed that it planned to shed around 2,500 jobs worldwide, cut expenses and reduce executive compensation packages by up to 50% to cut its cloth accordingly in the downturn.

Alan Munro, vice-president for the UK and Ireland at Lenovo, said it had determined the local impact of the global restructuring plans.

"We are in the process of communicating the proposed changes to staff after which we will go into a (30 day) consultation period," said Munro, adding he could not presently discuss specific numbers.

"The changes affect all part of our business but in terms of our customers and the markets we serve, particularly the channel, we will not reduce our service levels," he added.

There are also suggestions that Lenovo may get rid of the country head function which would cut short Munro's nine month reign in the UK.

Again he was unable to talk specifics but commented, "I am in the middle of this process like everyone else, my job is to continue the business and that is my primary focus".

Last week, CEO Bill Amelio resigned from the company following a 20% fall in fiscal third quarter sales and a loss of $90m, Chinese executive Yang Yuanqing has been reinstated as the top boss.

A version of this story originally appeared on Microscope.co.uk


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