Troubled Toshiba cuts 7,000 jobs

Samurai_Warrior_ASC_2799Workers at the troubled Toshiba are paying the price for their managers’ book cookery which could have won them a top price in the British Bake-Off.

Toshiba has said that more than 7,000 workers will be made redundant as a sacrifice to the accounting gods, which need to be appeased by the company’s antics.

Most of the 6,000-7,000 job cuts will be in the company’s lifestyle segment, which includes consumer appliances.

Toshiba is also looking to “drastically” reduce operations at its Ome factory, Tokyo, which makes televisions and personal computers, and is considering stopping developing televisions altogether.

The Japanese conglomerate’s chief executive, Hisao Tanaka, and a string of other senior officials resigned in July in the country’s biggest accounting scandal in years.  An inquiry found that he had set up a pressurised corporate culture that prompted business heads to manipulate figures to meet targets.

The pressure increased when top managers set unrealistic targets for new operations because they were worried about the impact of the2011 Fukushima disaster on Toshiba’s nuclear division.