Swedish Telecoms company Ericsson is to cut 20,000 jobs by next year following losses in the first quarter.
A spokeswoman for Ericsson in Ireland - the company employs 1,850 people in Dublin and Athlone - told ireland.comthe company was unable to say how or if the cuts would affect Ireland and when an announcement concerning Ireland would be made. Ericsson cut nearly 200 jobs in Ireland last year.
Earlier, a spokesperson said half the job cuts would be in Sweden.
Ericsson president and chief executive Mr Kurt Hellström said sales had been lower than predicted but that cost cutting, including the jobs cuts, would return the ailing company to profits by next year.
Sales were 37 billion Swedish Kronor, 26 per cent down from last year. The decline in gross margin percentage to 32 per cent from 41 per cent last year was blamed on product and market mix and capacity costs.
However, the report shows, gross margin improved 5 percentage points compared to the previous quarter as a result of reduced excess capacity
"Many operators have recently lowered investment plans further. As sales will be lower than anticipated, with ongoing aggressive cost-cutting we plan to return to profit at some point in 2003," Mr Hellström said.