Alcatel Lucent to slash 5,000 jobs after reporting loss

26 July 2012

Telecoms equipment maker Alcatel Lucent has said it plans to slash 5,000 jobs in order to save costs as it reported a net loss in the second quarter.

Cutting 6.4% of the workforce would allow the group to save 750m euros ($910m; £587m), the firm said.

The French-US group posted a loss between April and June of 254m euros against a 43m-euro profit a year ago. Revenue fell 7.1% to 3.5bn euros.

Shares in Alcatel Lucent closed down 5.94%.

‘Firm actions’

“It is clear from the deteriorating macro environment and the competitive pricing environment in certain regions… that we must embark….”