New Sony CEO Kazuo Hirai, taking over from Howard Stringer after he engaged in seppuku, will soon announce an enormous 10,000 staff lay-off.
The rumours are that the axe will swing at random over the next two fiscal years, up until March 2014, until six percent of Sony’s total global workforce have their heads rolling. According to the squawking sources, reports the Wall Street Journal, the plan will be announced at a meeting of the board this Thursday.
Sony has had a tough time of it over the last couple of years, posting four straight yearly losses. It has also suffered, as other Japanese companies have, from an exceptionally strong Yen, making it harder to compete on prices with other manufacturers.
According to the sources, Sony plans to either shed or spin off businesses it doesn’t think are central to the company. For example, it will sell its chemical products busiess to the Development Bank of Japan, the WSJ reports. Similarly it got rid of its LCD business to a Toshiba and Hitachi related venture.
Meanwhile, executive officers are kindly turning down their bonuses for the latest fiscal year’s end, in March.
Sony thinks that it can expand in certain core areas, like its 4K imaging technology. Launched roughly six years ago, 4K is a real money spinner and can be used to restore damaged film.
Hirai’s focus will be on innovation, it has been reported, and developing cutting edge products. While, of course, it carries on “streamlining” the rest of the company.