By The HR Observer Staff
Dutch health technology company Philips cut 6,000 jobs worldwide as the firm looks to “restore its profitability and improve the safety of its products,” reported global news agency Reuters on Monday.
With the recent announcement, Philips would have collectively let go 10,000 employees, or around 13% of the company’s current workforce, said Reuters.
“What we present today I think is a very strong plan to secure the future of Philips. The challenges we have are serious and we are addressing them head on,” said Chief Executive Roy Jakobs to reporters last October.
He explained that the firm wants to improve profitability while investing in safety, innovations will be targeted at “fewer, better resourced, and more impactful projects,” as quoted by Reuters.
Multiple technology-based firms have made massive layoffs, after companies including Alphabet’s Google, Microsoft, Amazon, Salesforce, Spotify, and German software maker SAP have announced major cut offs to cut costs.
Meta, formerly Facebook, was the first company to launch the layoffs trend within tech companies in November of last year. The ongoing trend is blamed on over-hiring, the pandemic and the ongoing global economic uncertainty. However, critics say that companies are taking a proactive approach to ensure investors that the industry is well.