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Germans urged to boycott Nokia

Unions up in arms
Thu Jan 17 2008, 15:23

GERMANS ARE being urged to boycott Nokia, following the phone maker's decision to close down operations in the Republik and shift to cut-price Romania instead.

As many as 2,300 staff will be axed as the Nokia plant in Bochum grinds to a halt.

In response, Dietmar Muscheid, regional head of the Confederation of German Unions cried, "Boycott Nokia!"

In a statement, Muscheid said Volk buying phones, "should think about the choice they are making and what catastrophic consequences the company's actions in Bochum will have for thousands of workers."

The German government is also piling the pressure on Nokia and has formally asked the company to reconsider its move.

It'll get told to bog off though. Wages in Romania are about a tenth of what they are in Germany.

More here. µ

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Comments
Boycott Nokia!

So Nokia is claiming this is a cost cutting move. What are the chances that we will see the prices of Nokia products drop after this? Actually... none! Nokia has already stated that they intend to increase the prices of their newest handsets by 5-15%! 
Also, after taking 90 Million Euro in subsidies from Germany, and then slashing all those jobs, I think Nokia should be investigated. They probably knew, while they were accepting money from the gov't, that they were going to close the plant. 
As an American, I'm disgusted by Nokia's actions and will never buy another Nokia product. I agree, lets Boycott Nokia!

posted by : Yan Nguyen, 26 January 2008 Complain about this comment
Nokia will be back...

Mercedes and Volkswagen also tried moves into eastern Europe (namely Poland and Slovakia), and failed dismally. The main causes of their retreat back to Germany were that the workforce had no pride; they would simply show up when they felt like it, and quality began to slip. There was also widespread stealing from within the factories. 
When faced with these issues Nokia will start to lose the extra profit margin they gained by moving and quickly backpeddle.

posted by : M H, 20 January 2008 Complain about this comment
Bad memory

In year 2000 Fujitsu-Siemens did close at Finland, Espoo, a well profitable factory. No cries about that?

posted by : plah, 19 January 2008 Complain about this comment
envy

wages,

a cart pusher in Germany makes 2000€. Hm. Yes, that's true. In 3 months. Oh the voice of envy. Wishing to kill the grand children of the WW 2 generation, u-hu. Get a life - no, not that low life there. You've got that already.

posted by : karx11erx, 18 January 2008 Complain about this comment
you may be the next

az,

I hope you are the next and nobody cares about you. Might make you understand. You are a waste of precious resources. Please stop eating, breathing and consuming energy.

posted by : karx11erx, 18 January 2008 Complain about this comment
btw...

you guys ever heard of recession (aimed at those germans :p)? O_O

posted by : Zimorodek, 18 January 2008 Complain about this comment
wages

Andrew: they're gonna pay the basic worker 200 euros. Now, that's low even by romanian standards, but it is a tenth of what a cart-pusher earns in germany :)

A team-leading engineer will earn about 1600 euros per month, that's about 1/4 of what a german makes, yeah :)

Alas, after what the germans, and more precisely those of the "sas" variety have done to us, let them starve for all we care :)

posted by : Basil, 18 January 2008 Complain about this comment
Cut Price Nokias?

So long as the N95 costs a tenth of the price I'll be happy. Oh hang on I have to go look out of the window at that flying pig! What no helicopter!

posted by : Yeah Right!, 17 January 2008 Complain about this comment
yawn, what's the fuss

Geez, this kind of thing happens all the time. 

The companies are allowed to do whatever they want. It feels bad from the average guy's point of view, but the ones who own the company have different interests and therefore the sacked workers aren't really their concern.

It's a cruel world, but just live with it.

posted by : az, 17 January 2008 Complain about this comment
Ah, now there is text....

Ah, now there is text, was forgotten the first time.....

Anyway, the main complaint is that Nokia first fetched the 90Million Euros from German gov. for producing in Germany, and now that that is gone move on. Plus apparently the work force cost is only 5% of the mobile phone cost, so yes, they can maximize wins a little by cutting work-costs, but not really by much. The production in Germany is profitable.

posted by : Lars, 17 January 2008 Complain about this comment
romanian wages

note that Romanian wages are not a tenth of that in Germany ... maybe a forth but not a tenth :|

posted by : Andrew, 17 January 2008 Complain about this comment
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