(Image source: The Manufacturer)

BY ZAKIYYAH WAHAB

ANCHOR CHRISTINA HARTMAN

You're watching multisource global video news analysis from Newsy.

Nokia has announced it will cut 4,000 manufacturing jobs, and the assembly of the company’s mobile phones will relocate to Asia. Slate News Channel has more.

“ … they’re moving all assembling of cellphones from Europe to Asia by year’s end in order to be closer to their suppliers.”

....

“The hope is that the move will enable Nokia to introduce innovations into the marketplace more quickly and ‘ultimately be more competitive.’”

The job cuts affect employees of three factories in Hungary, Finland and Mexico. But the factories won’t completely close, according to BBC …

“The company said the plants would remain open and refocus on customising phones whilst the actual assembly would move to South Korea and China.”

The affected Finnish factory is the oldest factory owned by Nokia. Although the layoff does not affect Finnish research and design laboratories, the Financial Times reports …

“... the move will be particularly [unwelcomed] in Finland, where Nokia has its headquarters, given its significance as an employer in the country … ”

The cuts come about after the Finnish company reported a devastating loss in the fourth quarter of 2011. As ABC News reports,

“... smartphone sales plummeted 23 percent globally in the fourth quarter as net revenue fell 20 percent to … 10 billion euro compared to a year earlier … ”

So, is Nokia leaving 4,000 employees out to dry? Nokia’s executive vice president for smartphones, Niklas Savander, says the company will provide training for those affected so they can look for new jobs. As quoted in Information Week, Savander says,

“We recognize the planned changes are difficult for our employees and we are committed to supporting our personnel and their local communities during this transition.”

Telecoms reports that the company will provide …

“ ... a comprehensive locally-tailored support program, including financial support and assistance with local re-employment.”

The job cuts are expected to be completed by the end of 2012.