CREATIVE Technology is cutting about 300 jobs worldwide with most to go from Europe and the United States, it announced last night.
Creative was unavailable to comment on whether any employees will be axed in Singapore, where it has its corporate headquarters and a large part of its research and development (R&D) operations.
The digital entertainment firm's statement said the severance payments and related costs from the job cuts would cost about US$10 million (S$15.4 million) in restructuring charges for the third quarter ending March 31.
The sum also includes 'facilities costs from consolidation of certain international offices'.
Creative made headlines recently with an announcement that it had reduced its headcount by 47 per cent, or 2,700 employees, in the 12 months ended June 30 last year. That left it with about 3,100 full-time employees.
It also axed about 800 staff in the 2007 financial year.
The firm had around 79 per cent of its staff in Asia, 9 per cent in the Americas and 12 per cent in Europe, as of June last year.
When the staff cuts of 47 per cent were announced, a Creative spokesman said there had been no significant change in the overall employment figure in Singapore with the firm still looking to hire more R&D engineers.
Creative has been going through a rough ride. In its second quarter ended Dec 31 last year, it made a net loss of US$32.4 million compared with a net profit of US$7.6 million in the same quarter in 2007. Revenue for the second quarter last year was US$155.7 million, down from US$262.5 million for the same period the preceding year.
- The Straits Times
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