Alcatel cuts more jobs

Alcatel announced additional work-force cuts and facility consolidations in the United States yesterday, citing the current economic climate in the telecommunications market.

According to an Alcatel spokesman, reduced customer demand spurred the restructuring so the company could remain competitive.

The French telecom-equipment maker will cut 2500 jobs: 800 in Plano, Texas; 700 in Raleigh, N.C.; 100 in Chantilly, Va.; and 900 across the rest of the United States. In Raleigh, the company will shift manufacturing functions to other locations or contract manufacturers. What will remain is an R&D manufacturing facility for access products, prototype building and producing the first release of access products, the Alcatel spokesman said.

The recent cuts are part of Alcatel’s restructuring effort to trim its staff based in the United States to 12,500. The company previously shed 2200 jobs this year. The company currently has about 130,000 employees worldwide.

Employees affected by the job cuts will receive a severance package and outplacement services.