Toshiba and Hitachi to slash thousands of jobs

Electronics giants Toshiba and Hitachi are planning large-scale job cuts amid a slump in global demand for information technology.

Toshiba will slash 20,000 jobs, including mid-level executive positions, and is considering achieving the reductions through firings overseas and transfers and early retirements in Japan, it was reported.

A figure wasn't given for how many jobs Hitachi would reduce, but said they would be part of a large-scale restructuring to be announced soon.

Toshiba spokesman Hideyuki Miyazaki declined to confirm details of the reports but said falling worldwide demand for semiconductors and other information technology equipment will force the company to announce "fairly big" job cuts as early as this week.

"We need to create a structure that can withstand steep downturns like this one," Mr Miyazaki said.

The plan follows previous cuts, including 8,500 jobs reduced under a plan last year, the paper said.

Broadcaster NHK said about 14,000 of the reductions at Toshiba were slated for facilities in Japan and would account for approximately 10% of the company's domestic workforce. It said all the cuts would be carried out over the next two years.

Hitachi spokesman Hiroaki Oi said a decision on whether to cut jobs hasn't been made yet.

"We have to wait until we see our profit numbers," Mr Oi said. He couldn't say when that would be.

Toshiba employs about 190,000 workers while Hitachi has 340,000, the Asahi said.