Nokia to shut down Chennai plant from 1 November

[V.Balasubramani]

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Following Ambassador, HMT, it is going to be Nokia (Chennai Plant) now:

Nokia to shut down Chennai plant from 1 November

New Delhi: Telecom gear maker Nokia today said that it will shut down its Chennai plant from November 1 as Microsoft has terminated mobile purchase agreement from the the factory and it is left with no business.

'Microsoft has informed Nokia that it will be terminating the manufacturing services defined in the agreement with effect from 1 November 2014. In absence of further orders from Microsoft, Nokia will suspend handset production at the Sriperumbudur facility from 1st November', Nokia said in a statement.

In September 2013, Nokia announced it would sell it devices and services (D&S) business, including assets in India, to Microsoft for USD 7.2 billion by March 2014.

The deal was completed on April 25 but Chennai facility could not be transferred to Microsoft because of legal issues related to tax demand by Indian government.

Read more: Nokia to shut down Chennai plant from 1 November | News Today

 

[tbs]

hi

very sad for employees....

 

[V.Balasubramani]

hi
very sad for employees....

Sir,

It is really very sad…..

There is a news that HTC may consider buying Nokia’s Chennai plant.

As it is, the exact number of employees at present in its Chennai factory could not be ascertained but in March out of 6,600 permanent employees, about 5000 had opted for Voluntary Retirement Scheme offered by Nokia

Source: http://timesofindia.indiatimes.com/...-plant-on-November-1/articleshow/44601461.cms


Nokia offers VRS scheme to Chennai plant employees

CHENNAI:Even as the fate of several workers of handset major Nokia at its manufacturing unit here hangs in balance, the management has announced a Voluntary Retirement Scheme for them.

"As a global company, Nokia regularly reviews its manufacturing strategyto optimise and ensure smooth and timely delivery of its products. This processconsiders many factors, including the predictability and stability of theregulatory environment in the countries where the company operates," thecompany said in a statement.

"Following such a review, we can confirm we have launched a voluntarypackage (VRS) at our Chennai, India facility," it said.

"As a responsible employer, Nokia is offering a clear financial option forinterested factory employees," it said, adding the company felt thispackage offers staff a chance to seek new opportunities outside the company,based on a firm financial footing.


Readmore: http://timesofindia.indiatimes.com/...nnai-plant-employees/articleshow/33606787.cms

 

[V.Balasubramani]

Sitharaman: Govt will look into Nokia Chennai plant suspension issue

With global giant Nokia announcing suspension of its Chennai mobile plant operations, the Centre today said it will look into the issue and make efforts to ensure that such incidents do not occur again.

“We will certainly see how best (such) matter doesn’t occur again and we will encourage ‘Make In India’ campaign,” Commerce and Industry Minister Nirmala Sitharaman said here.

Sitharaman, who is also Minister of State for Finance and Corporate Affairs, was responding to queries on Nokia announcing suspension of its plant and whether it will affect the government’s recently launched ‘Make In India’ campaign.
“This is an issue specifically related to a particular company and there is an issue on that. We are seized of the matter. We will look at it,” she said.

On Tuesday, telecom firm Nokia Corp announced suspension of operations at its Chennai mobile handset plant from November 1 after Microsoft terminated an agreement to buy mobiles from the unit.

The company had said that the asset freeze imposed by the tax department prevents Nokia from exploring potential opportunities for the transfer of the factory to a successor to support the long term viability of the established, fully functional electronics manufacturing ecosystem.

Read more: Sitharaman: Govt will look into Nokia Chennai plant suspension issue | Business Line