Toshiba Information Systems Announces Another Layoff : Slowdown: The company says about 125 jobs will be eliminated, blaming the economic lag and the war.
In its second layoff in two months, Toshiba America Information Systems Inc. will lay off 7% of its work force in a reorganization of its Irvine operations, the company said Monday.
About 125 jobs will be eliminated across various job categories, said Robert Wittenburg, a spokesman for the Toshiba Corp. subsidiary. The firm manufactures laptop computers, telecommunications products, copiers and fax machines.
In January, Toshiba America laid off more than 100 employees in response to slowing sales that it attributed to the recession and the Persian Gulf War.
The company, which employed nearly 2,000 people at the end of December, has cut more than 225 jobs since January.
Kiichi Hataya, president of Toshiba America, said the latest reductions are intended to make the company’s marketing and manufacturing operations more efficient and flexible.
“We need to respond to market changes,” Hataya said. “At the same time, our intention is to streamline our organization.”
In April, the company will consolidate its copier, fax and printer divisions into a single unit called the Electronic Imaging Division, to be headed by Richard H. Walker, currently vice president and general manager of the firm’s copier division.
Hataya said that copier, fax and printer technologies have become increasingly similar, and merger the three division will enable the company to better capitalize on those similarities.
The company will reorganize its divisions along manufacturing functions, such as final assembly or quality control, instead of product lines, Hataya said.
Last year, Hataya said the Irvine company would reach more than 3,000 employees by March, 1992. Wittenburg said those plans are now delayed by at least six months.
Wittenburg said the company, which has annual sales of about $1 billion, is profitable. Despite intense competition in the fast-growing laptop and notebook-computer markets, Wittenburg said the company has retained its No. 1 market position in those areas.
