February 14, 2011 / 12:50 PM / in 7 years

Nokia's turnaround risks 5,000 Finnish jobs: union

HELSINKI (Reuters) - Nokia’s smartphone alliance with Microsoft threatens more than 5,000 Finnish research and development jobs at the Finnish company and its subcontractors, a union boss said.

“If the worst scenario comes true, I think more than 5,000 jobs are under threat in this process,” white-collar union Ammattiliitto Pro chairman Antti Rinne told Reuters on Monday.

He said 1,500 of those people currently work for Nokia’s subcontractors, adding Nokia ought to pay at least 100,000 euros ($135,000) for each worker in Finland who loses their job.

Stephen Elop took over as Nokia chief executive last September, replacing Olli-Pekka Kallasvuo, under whom Nokia struggled to keep up with rivals in smartphones.

On Friday, Elop announced a partnership with Microsoft under which Nokia will adopt Windows Phone software across its devices, replacing its home-grown Symbian platform.

Nokia and Nokia Siemens Networks employed 132,000 people at the end of last year, of those 19,800 in Finland. More than 6,000 people work for Nokia’s research and development in four Finnish cities.

Reporting by Jussi Rosendahl; Editing by Dan Lalor

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