RIM Cuts 2000 Jobs Under Cost Optimisation Program

BlackBerry maker Research in Motion is planning to cut 2,000 jobs under what it is calling a ‘Cost Optimisation Program’.

The company said that the job cuts were planned in order to dispel redundancies and reallocating resources on areas that were most profitable for the company’s growth.

The move comes as the company is battling Apple and Google to regain some of the market share it has lost to the iPhone and Android powered devices. RIM plans to contact affected employees in North America and certain other countries this week and will continue the job cuts in other countries as per the local law.

RIM said that affected employees will be getting a severance package and outplacement support.

“The size of this workforce reduction is in line with the preliminary estimate that was factored into RIM's full year financial guidance on June 16, 2011. Following the completion of the workforce reduction, RIM's global workforce is expected to be approximately 17,000 people,” the company said. Further details will be provided when it releases in Q2 results, the company added.

The company also announced that its Chief Operating Officer Don Morrison will be retiring soon after having worked with the company for ten years. Morrison is currently on medical leave.