Nokia has announced that the company plans to cut around 10,ooo jobs from their workforce around the world, equating to about a fifth of the positions at the company.

The reduction in staff is expected to be completed by the end of 2013. Stephen Elop, Nokia president and CEO, said “These planned reductions are a difficult consequence of the intended actions we believe we must take to ensure Nokia’s long-term competitive strength. We do not make plans that may impact our employees lightly, and as a company we will work tirelessly to ensure that those at risk are offered the support, options and advice necessary to find new opportunities.”

The phone manufacturer has also cut its Devices and Services earnings outlook for the second quarter, which is expected to be much the same as Nokia’s first quarter for 2012.

Nokia has said that they have got long-term plans in place, with Elop saying “We intend to pursue an even more focused effort on Lumia, continued innovation around our feature phones, while placing increased emphasis on our location-based services. However, we must re-shape our operating model and ensure that we create a structure that can support our competitive ambitions.”

Source: CNET