Pioneer to cut 800 Jobs as of June

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Pioneer

Pioneer Corporation in Japan announced it will lay off about 800 workers due to poor profits, especially as sales in optical drives declined.

The company is now forecasting a net loss of 4 billion yen ($42.5 million) for its fiscal year that ends March 31.  It had previously forecast a 1 billion yen ($10.6 million) profit.

Pioneer said net sales for the recent quarter were up in consumer car navigation systems and OEM car audio.  Consolidated net  sales  increased in the recent quarter by 2.6 percent over last year. But profits declined.

For the recent quarter, ended in December, Pioneer reported a net loss of 9.76 billion yen ($103.5 million).

Pioneer will also cut pay for employees, including executives.

The 800 workers to be let go will include 500 “regular” and 300 “non-regular” employees, said Kyodo news.  In total, Pioneer employs 34,000 people worldwide.

Pioneer Electronics did not immediately answer our inquiry on the impact for U.S. employees and on aftermarket results in the U.S.

Source: PioneerKyodo News via ABS-CBN.com

 

 

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