Japan chip maker Renesas 'may cut 14,000 jobs'

Japanese semiconductor maker Renesas Electronics Corp. is considering cutting up to 14,000 jobs or 30 percent of its workforce as part of a major restructuring plan, according to news reports.

The company is also considering selling a major factory to a Taiwanese firm, while closing or scaling down other plants, said the Nikkei and the Asahi Shimbun newspapers as well as Kyodo News.

Renesas, which lost 62.6 billion yen ($785 million) in the year to March, also plans to raise 100 billion yen, mainly from its top shareholders NEC, Hitachi and Mitsubishi Electric, the Nikkei said.

The company wants to sell its major factory in Yamagata to Taiwan Semiconductor Manufacturing Company (TSMC), the Nikkei said.

The plant, with 1,400 workers, produces semiconductors used in televisions and other digital gadgets. But low domestic demand has forced the company to reduce operations at the factory, the Nikkei said.

In a short statement, Renesas distanced itself from the reports, saying no formal decision had yet been made.

The scope of the newly reported plan is significantly higher than what was reported Tuesday by the Yomiuri Shimbun, which reported 6,000 job cuts and 50 billion yen in fresh capital.

Japanese electronics makers -- from parts makers to producers of the finished products -- have long struggled with the chronically stagnant Japanese economy and a high yen weighing on their earnings.

Editor’s note:Yahoo Philippines encourages responsible comments that add dimension to the discussion. No bashing or hate speech, please. You can express your opinion without slamming others or making derogatory remarks.

  • Ayungin dilemma Ramon Casiple - Parallaxis
    Ayungin dilemma

    China faces a dilemma in Ayungin Shoal and other contested areas. If it waits for the ITLOS—which may decide against it—it would have tacitly bound itself to UNCLOS and risk a rogue state reputation if it asserts its claim in the South China Sea. If its militarily acts now, it may face international isolation. …

  • 48 nabbed in biggest anti-trafficking catch in Bongao VERA Files - The Inbox
    48 nabbed in biggest anti-trafficking catch in Bongao

    By Jake Soriano, VERA Files Bongao, Tawi-tawi—A team of Marines and policemen intercepted around noon Thursday 48 people, 12 of them minors, believed recruited by a human trafficking syndicate for work in Malaysia. The arrest constitutes what advocates called the … Continue reading → …

  • Docs vow to pay right taxes, make peace with BIR VERA Files - The Inbox
    Docs vow to pay right taxes, make peace with BIR

    By Kiersnerr Gerwin Tacadena, VERA Files Leaders of the medical profession have made peace with their former adversary, the Bureau of Internal Revenue (BIR), and joined forces in a campaign to get doctors to pay the right taxes. BIR Commissioner … Continue reading → …

POLL
Loading...
Poll Choice Options