German engineering giant Siemens will reduce its global workforce of 343,000 by about 2.3 percent through management and administrative cuts, the company said in a statement on Friday. Some 3,300 jobs will disappear in Germany.
The measure will deliver about €1 billion, or $1.1 billion, in savings by the end of 2016, with that money to be reinvested in sales, research and new plant equipment, Siemens said. Due to the reinvestments, the total number of employees is expected to remain stable, it said.
Since taking over as chief executive in August 2013, Joe Kaeser has been pursuing a restructuring program, called, “Vision 2020,” to increase profitability and sales in a move to keep up with its rivals, including General Electric.