Nokia to cut 1,700 jobs

Nokia, the world's largest maker of cell phones, said it was cutting 1,700 jobs worldwide in response to "pruned" demand from consumers.

Nokia, in its third announcement this year involving reduced employment, said it was cutting the jobs in its devices and markets unit as well as in its corporate development office and global support functions.

The Espoo, Finland-based group said it plans to scale sales, marketing and technology management to match the pruned portfolio and global consumer demand.

It will also cut marketing and other activities that will no longer be needed following the Symbian acquisition; streamline the research-and-development organization within devices; and increase efficiency in certain global support functions.

The job cuts represent about 1% of Nokia's 125,829 workers as of Dec. 31.
In North America, Nokia employs over 8,000.

Nokia's fourth-quarter revenue dropped 20%, and the rival of Samsung and Motorola forecasts industry-wide volumes to drop 10% in 2009.

In Helsinki trade, Nokia shares dropped 2.6%.

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