Finnish handset vendor Nokia’s little Bochum problem just won’t go away. The company announced Thursday that it has now been corralled into a partnership with the German state of North Rhine-Westphalia to stimulate growth, create new jobs and generate investment for Bochum and the neighbouring cities.

If you remember, Nokia already agreed to a Eur200m package for the 2,300 workers it axed from its device manufacturing plant in Bochum, earlier this year.

Nokia shut down the plant on June 30, moving its handset manufacturing operations to a cheaper European base in Romania. But the plans caused a political backlash and it appears the “Growth for Bochum” package is the penance Nokia must pay.

Under the deal, Nokia will embark upon a proactive, international campaign to attract investors to Bochum in order to create long term employment opportunities; it will help establish an “Entrepreneur Centre” to develop and grow new companies; a Chair will be created at the Bochum University to ensure the commercialisation of scientific research; the firm must find a suitable buyer or investor for the Nokia facilities in Bochum; and will give ‘financial support’ to the surrounding region of Bochum.

As part of the deal, Nokia will also contribute Eur20m plus the net proceeds from the sale of the production facility and property in Bochum.

“We said in January that, as a responsible company, we would work together with the employee representatives, unions, NRW Government and City of Bochum to find ways to support employees and Bochum’s future growth both during and after the difficult process of closing the factory. We are pleased to now announce this important milestone,” said Nokia chief financial officer and executive vice president Rick Simonson, probably with a very forced smile on his face.