BERLIN -(Dow Jones)- Engineering and electronics firm Siemens, Wednesday said it will go ahead with the planned split of its Communications division as of August 1 after it struck an agreement with its workers' council and the IG Metall trade union.
Siemens' communications division makes equipment to run telecommunications and enterprise networks.
The company at the end of June said it was going to divide the division into two separate entities, as it is to merge its carrier business with a similar business of Nokia Corp. (NOK) of Finland.
Siemens said it has agreed with the workers council and the trade union that a new workers council will be formed at an early stage within the merged Nokia-Siemens venture.
The company said it has also agreed that the merged business will maintain its countrywide operations across Germany.
IG Metall said in a separate statement that Siemens has also agreed not to implement any obligatory redundancies until Sept. 30, 2009 in any of the division's current operations.
IG Metall said that Siemens has agreed that it won't implement any obligatory redundancies until Sept. 30, 2009 in any of the current businesses of the Communications division.
(END) Dow Jones Newswires"
Posted to the site on 19th July 2006
Posted to: www.cellular-news.com/story/18356.php