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Huawei plans to cut jobs in US-based R&D subsidiary, says report

The layoffs could be in the hundreds, one person told the Journal


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is planning extensive layoffs in the United States (US) as the Chinese telecoms equipment company grapples with its US blacklisting, the Wall Street Journal reported, citing people familiar with the matter.

The layoffs are expected to affect jobs at Huawei’s US-based research and development subsidiary Futurewei Technologies, which employs about 850 people in research labs across the US, the Journal said.

The layoffs could be in the hundreds, one person told the Journal. Huawei’s Chinese employees in the United States were being given an option to return home and stay with the company, another person added. Some employees have already been notified of their dismissal, while more planned job cuts could be announced soon, the newspaper said.

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declined to comment when contacted by Reuters. After the Commerce Department decided to put on its so-called entity list, Futurewei employees have faced restrictions to communicate with their colleagues in Huawei’s home offices located in China, the people told the Journal.

Last week, Commerce Secretary Wilbur Ross said the US government would issue licenses to seeking to sell goods to Huawei where there was no threat to national security.

First Published: Sun, July 14 2019. 23:01 IST