Nokia to shut down its operations in Chennai


More than 1,000 employees of a Nokia factory  face losing their jobs as the Finnish telecom firm on Tuesday said it has decided to suspend operations at the mobile handset plant from November 1.

A statement issued by Nokia said Microsoft has informed them that it is terminating a contract to buy mobile phones made at the unit.

“In the absence of further orders from Microsoft, Nokia will suspend handset production at the Sriperumbudur facility from November 1,” the statement said.

The Helsinki-based company was forced to keep the factory out of a US$7.5 billion deal for sale of its handset business to Microsoft due to tax dispute with Indian authorities.

About 800 employees at the plant will be filing a case before the labour commissioner on Thursday.

Nokia started manufacturing at this plant in January 2006.


Source: IndianExpress

Make a Comment
Make a Comment