Sharp to cut workforce in large-scale turnaround push by its new CEO

Sharp Corp. will implement a large-scale corporate restructuring to achieve profitability, with the hope of restoring the brand’s image as a global provider of innovative consumer electronics, the company’s new chief executive said Monday.

“My mission as the leader of Sharp is to turn around this company without any further delay,” said Tai Jeng-wu, who became CEO as part of the takeover by Taiwan’s Foxconn Technology Group.

Tai, Foxconn Chairman Terry Gou’s right-hand man, took over from Kozo Takahashi when the ¥388.8 billion ($3.9 billion) deal to take more than a 60% stake in Sharp closed this month.

On Monday, Tai said the company would invest aggressively in research and development and that Foxconn would provide support for component-procurement and manufacturing.

Tai also said a restructuring is necessary and would include cutting Sharp’s workforce. Gou has repeatedly said there would be layoffs, and Sharp executives said previously that they would number in the thousands and mainly be at overseas locations.

Source: MarketWatch