updated 06:35 pm EST, Wed December 31, 2008
Motorola moves up lay-offs
Motorola announced it would lay off a total of 1,900 employees in the fourth-quarter, which is 400 more than it originally planned to before the end of the fiscal year, says a Tuesday report. The move is meant to save the company $800 million in 2009 and does not affect the previously announced total job elimination of 3,000 jobs, 1,100 of which will be made next year.
Before this announcement, Motorola's charges for the fourth quarter were expected to total $104 million, but the moved-up job cuts have changed that number to $189 million. The move is part of Motorola's larger cost-cutting measures that include suspending contributions to workers' retirement plans, freezing pension plans, stopping pay increases and cutting salaries of the top two executives.