Lenovo cutting 1400 jobs as part of cost cutting

Lenovo cutting 1400 jobs as part of cost cutting

Chinese personal computer maker Lenovo has announced that they would be cutting 1400 jobs as part of their cost cutting initiative.

The company aims to streamline its supply chain and save some $100 million in its current fiscal year. This job cut would represent 5 percent of its total workforce and these jobs would be terminated at their Americas, Asia/Pacific and EMEA offices.

Lenovo added that around 750 positions will be transitioned into emerging markets closer to Lenovo’s suppliers and manufacturing operations.

William J. Amelio, Lenovo’s president and CEO said in a statement on their plans: “To win in the PC industry, our path is very clear. We must deliver the world’s best-engineered PCs, offer our customers an unrivaled ownership experience, and grow faster and more profitably than the rest of the industry. This means we must make our organization more efficient by reducing expenses.”

Amelio further said: “While these actions are difficult, we believe the ‘tipping point’ is within reach. If we can combine optimal cost competitiveness and efficient delivery capabilities with innovative, best-engineered products, we can generate more profitable growth, gain market share, and make further reinvestments into the business, fueling more growth. We are confident that we are doing the right things to make Lenovo an even stronger, more competitive player in the global PC market.”