After Initially Denying Cuts, Huawei Starts Sacking Staff
It was only four weeks ago that the Managing Director of Huawei Australia’s Consumer business was trying to discredit ChannelNews claims that the Company was set to start to sackingpeople after the collapse in sales of their smartphones due to bans and security issues.
They also claimed that the Company was determined to stay in Australia despite the Federal Government banning the Company as a supplier of 5G network equipment though they are still rolling out 4G gear for carriers.
“We are definitely not pulling out,” Larking Huang, managing director of Huawei’s consumer business group told The Australian Financial Review. Now the Chinese Company is sacking staff in their network division while still claiming that there is no cuts in the consumer division that is still looking to launch new products in Australia.
Now it’s official with Huawei confirming that more than half of their workforce in the network division is set to get a pink slip with 100 of 700 employees already let go.
At a dinner laid on specifically for journalists Huang spun a story that “everything was okay” at Huawei Australia when in reality the wheels were coming off the Huawei Express.
An email from Huawei director of corporate affairs Jeremy Mitchell to the Australian Mobile Telecommunications Association has revealed, that hundreds are more likely to lose their jobs.
This is what an insider told ChannelNews six weeks ago only for the claim to be refuted.
See story here.
The email, which the SMH claims was copied into Communications Minister Paul Fletcher, flagged the upcoming job losses as a result of the Chinese company’s lockout from the 5G network and also announced the telecommunications giant would be withdrawing as a member of the telco lobby group AMTA.
“The 5G ban is already impacting our business with 100 job losses and if the 5G ban continues on all Chinese companies, we expect that number to grow to over 400 in the next two to five years,” Mr Mitchell said in the email.
Huawei was banned from participating in Australia’s 5G infrastructure a year ago and has since aggressively lobbied for the government to change its position but has failed to have the rules changed.