Toshiba will lay off 4,000 workers to reduce costs and restructure itself – Observer

Japanese technology company Toshiba announced this Thursday that it will eliminate 4,000 jobs through early retirement plans, as well as integrate subsidiaries into the parent companywith the aim of reducing costs.

The company, which left the Tokyo Stock Exchange in December last year, also said in a statement that these measures are part of a restructuring plan for its activity.

The president of the Japanese business group, Taro Shimada, stated at a press conference in Tokyo that Toshiba has around 110,000 employees, 4,000 of whom will be subject to an early retirement plan for those over 50 years of age.

The company, which has its headquarters in the central district of Minato, in Tokyo, and in Kawasaki, south of Tokyo, also plans to move its entire headquarters to Kawasaki in the next fiscal year.

The Japanese company delisted after being acquired by a consortium led by Japan Industrial Partners for around 11,896 million euros.

Toshiba recorded a loss of 444 million euros in the fiscal year ending in 2023after having recorded a profit of 749 million euros in the previous year.

Founded in 1875, Toshiba was once one of the largest technology companies in the world. It started as a manufacturer of household appliances and gradually diversified into areas such as infrastructure and energy.

For years, the emblematic Japanese company has been mired in serious economic problemsand shaken by several accounting controversies from previous decades, in addition to large losses with its nuclear business, which led it to divest several of its most important business lines, such as semiconductors, image sensors and computers.