Siemens, a major German monopoly in electronics and electrical engineering, has announced plans to cut 4.2 percent of its workforce in the coming months. Siemens will lay off 16,750 workers globally, including 5,250 in Germany.
Pointing its finger at the economic recession, Siemens plans to cut costs by $1.9 billion by 2010 in order to keep up with its competitors, General Electric and Philips.
Union leaders have spoken out against the layoffs and have said that a strike is not out of the question. Union members say that the layoffs will only benefit the shareholders and bosses.
“Siemens is looking good economically, the order books are full … That makes the planned job cuts neither comprehensible nor acceptable, and they are excessive in extent,” said Werner Neugebauer, head of the engineering trade union, IG Metall.
