Sony Corporation, to the tune of an impending $1.1 billion operating loss, has announced closure of some of its factories involved in their television business. It may be closing down one of its plants in Japan and would slash about 3% of its local workforce. They’re planning on axing 16,000 of its global workforce. This is sad news really but I think this company is trying its best to survive the coming onslaught of the financial crisis brought about by the housing credit squeeze in the U.S.
Last month, they’ve already announced the closure of one of their plants in America, namely, their Westmoreland County plant in Harrisburg, Pennsylvania. This meant 560 jobs of the company’s 16,000 slash target. They’re also cutting back expenses by foregoing executive and managerial-level bonuses! Ouch.
Sharp, also last month, announced similar measures when it shut down two LCD manufacturing plants in Japan, which, they say is part of their efforts to make their operations more efficient in the face of free-falling TV prices.
Samsung Electronics and Panasonic Corp are likewise undergoing restructuring efforts to reduce cost and boost efficiency.
I guess these are going to be tough times for the television industry and those that get laid off from work. But after this, the only way to go would be up. Goodluck to everyone and to all these LCD and Plasma TV manufacturers!
