Chinese computer manufacturer Lenovo is cutting 550 employees in Europe. The reduction in head count comes shortly after the PC maker reported $97 million in losses during the third quarter of 2008.
The reported losses -- the first the company had experienced in three years -- also claimed the job of former CEO William Amelio, who resigned. Former CEO Yang Yuanqing returned to the role, replacing Amelio.
The 550 lost jobs in Europe will take place across all functions, divisions and countries, Ray Gormand, a spokesman for Lenovo, confirmed.
The reduction in head count in Europe is part of Lenovo's restructuring, revealed in January as part of a plan to cut $300 million in the 2009/2010 fiscal year. As part of the cost-savings strategy, Lenovo executives were braced to take cuts of 30 to 50 percent of their compensation.
The jobs lost in North America due to the restructuring will amount to about 350 employees, with 200 cuts at a call center in Toronto and an additional 250 in Raleigh, N.C. However, Lenovo plans on hiring about 100 additional employees to staff a call center being built in the Raleigh area.
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