Dinesh jain
Member
- Joined
- 3 Feb 2014
- Messages
- 1,552
- Reaction score
- 988
Nokia, once an iconic mobile handset maker, is
shutting down its India plant Saturday at
Sriperumbudur near here, a company
spokesperson said on Friday.
"As announced earlier (Oct 7), we are stopping
handset production at our Chennai plant from
tomorrow (Nov 1) in the absence of orders
from our new parent firm (Microsoft), which
terminated the mobile purchase agreement," a
Nokia India official told IANS.
Global software major Microsoft, which
acquired the Finland-based Nokia's global
devices and services business, including assets
in India for $7.2 billion April 25, decided to
suspend manufacturing handsets from its
Chennai plant though it could not take
possession of it due to legal battles over a tax
notice from the Tamil Nadu government and
the Supreme Court in March.
"We can confirm that constructive discussions
with union representatives and the labour
commissioner have resulted in an agreement
on a financial package for Chennai factory
personnel," the spokesperson said in a
statement a day after a tripartite meeting here
between company officials, union members
and the top labour officer.
At the time of closing down the operations,
about 1,100 employees were working in the
plant, including 900 on the assembly lines.
Of the 6,600 employees the company had on
rolls till March, 5,500 opted for VRS (voluntary
retirement scheme) it offered and left.
Nokia made a cumulative investment of $300
million (Rs.1,800 crore) in the Chennai factory
over the last eight years.
Nokia will not make handsets in India anymore
shutting down its India plant Saturday at
Sriperumbudur near here, a company
spokesperson said on Friday.
"As announced earlier (Oct 7), we are stopping
handset production at our Chennai plant from
tomorrow (Nov 1) in the absence of orders
from our new parent firm (Microsoft), which
terminated the mobile purchase agreement," a
Nokia India official told IANS.
Global software major Microsoft, which
acquired the Finland-based Nokia's global
devices and services business, including assets
in India for $7.2 billion April 25, decided to
suspend manufacturing handsets from its
Chennai plant though it could not take
possession of it due to legal battles over a tax
notice from the Tamil Nadu government and
the Supreme Court in March.
"We can confirm that constructive discussions
with union representatives and the labour
commissioner have resulted in an agreement
on a financial package for Chennai factory
personnel," the spokesperson said in a
statement a day after a tripartite meeting here
between company officials, union members
and the top labour officer.
At the time of closing down the operations,
about 1,100 employees were working in the
plant, including 900 on the assembly lines.
Of the 6,600 employees the company had on
rolls till March, 5,500 opted for VRS (voluntary
retirement scheme) it offered and left.
Nokia made a cumulative investment of $300
million (Rs.1,800 crore) in the Chennai factory
over the last eight years.
Nokia will not make handsets in India anymore
