Tyco Electronics to Cut 2,500 Jobs Amid Restructuring

Tyco Electronics Ltd., the world’s largest maker of electronic connectors, said it will cut about 2,500 jobs worldwide, or about 2.6 percent of its workforce, as part of previously announced efforts to speed $100 million in cost reductions.

The Hamilton, Bermuda-based company isn’t detailing where the job cuts will take place until workers are notified, spokeswoman Sheri Woodruff said in an interview. Some employees in North America were told of the reductions this week. The company, run from Berwyn, Pennsylvania, has about 96,000 employees globally.

Demand for connectors used in cars, desktop computers and cell phones has slowed, prompting the company to say this month that fiscal first-quarter profit will be near the low end of its previous forecast range. The job cuts will take place by the end of second quarter in March, Woodruff said.

Separately, the company said it is temporarily shutting a plant in Portugal for two weeks as orders in Europe slow. Production will cease Dec. 19 and resume after the holidays, Woodruff said. The Wall Street Journal previously reported the shutdown.

Tyco Electronics declined 8 cents to $16.88 at 4:15 p.m. in New York Stock Exchange composite trading. They have declined 55 percent this year.

Source : Bloomberg
[tags : recession bankrupt collapse retrenchment financial news collapse stagnation economic slowdown financial collapse world recession global recession layoff job cut]