Omron, a major electronic equipment manufacturer headquartered in Kyoto, has announced that it will cut 2,000 jobs domestically and overseas in response to deteriorating business performance due to the slowdown in the Chinese economy.
Of these, our policy is to solicit voluntary retirement from around 1,000 people, or 10% of our domestic employees.
Omron held an online press conference on the evening of the 26th and announced that it would undertake structural reforms due to deteriorating performance in its mainstay control equipment business used in factories in China.
Specifically, we will reduce the number of employees in Japan and overseas by around 2,000 people, and within Japan, we will ask about 1,000 people, or 10% of our employees, to take voluntary retirement.
Target candidates are full-time employees who have been employed for three years or more and are over 40 years old, and will be recruiting from April to May this year.
We will also reduce our workforce by around 1,000 people overseas as well.
This is the first time in about 22 years since 2002 that the company has asked for voluntary retirement.
This month, Omron revised down its earnings forecast for the current fiscal year, announcing that its final profit would be 1.5 billion yen, down 98% from the previous fiscal year.
OMRON President Junta Tsujinaga said in an online press conference, ``We must rebuild our management as soon as possible.It will be painful in the short term, but through a series of initiatives, we can transform into a company that grows stronger.'' said.