Panasonic to cut 15,000 jobs

The credit crunch has claimed another scalp, with the news that tech giant Panasonic is looking to lose around five percent of its workforce following an increase in projected losses for the current financial year.

According to the New York Times the company will be looking to shed 15,000 jobs – half of which will be of workers based in Japan – as a result of losses of 380 billion yen (£2.85 billion) in the financial year leading up to March 31st, up from the 360 billion yen the company was hoping for.

The job losses, which represent five percent of the company's overall workforce, will be joined by the closure of a number of manufacturing sites – thirteen located in Japan and a further fourteen abroad.

The company has not announced any details on which divisions are being scaled back, but it is thought that the plants are manufacturers of 'discretionary' items such as TVs and data projectors - items many consumers will be putting off purchasing until the global economy picks up.

A statement from Panasonic blamed "the rapid appreciation of the yen" - which has made goods more expensive for other countries to buy, harming export sales to the US and Europe – along with "sluggish consumer spending worldwide and ever-intensified price competition."

Despite the gloomy financial outlook – and even gloomier prospects for those whose jobs are for the chop – Panasonic is still going ahead with its planned purchase of Sanyo, which is currently awaiting approval from regulators.

Do you hope that Panasonic is large enough to withstand such a large number of job losses and plant closures? Hoping that the company can stay afloat long enough for you to get your 50" plasma? Share your thoughts over in the forums.