HTC to slash US workforce

Taiwanese smartphone manufacturer HTC has announced that it will reduce its US workforce as it looks to “streamline and optimise” its operations.

The cuts will affect around 30 employees, representing around 20 per cent of HTC’s 150-strong workforce, according to news agency Reuters.

“Today’s reduction in force is a decisive action by HTC Corp (US) to streamline and optimize our organization and improve efficiencies after several years of aggressive growth,” the firm said in a statement.

“Realigning its human resources against key strategic initiatives will help HTC more effectively advance into a new stage of growth and innovation.”

The vendor added that this was a difficult decision that has direct impact on people who have contributed to the growth HTC has experienced the past several years.

“However, to achieve our long-term goals as a business and return maximum value to our shareholders, this is a necessary step to drive ongoing innovation, ensure our ability to create strong products like the HTC One, and forge strong customer relationships that solidify our future.”

The firm added that it continues to hire in strategic areas and encourages impacted employees to apply for open positions that are a fit for their skills.

HTC has been struggling financially of late. In July this year, the firm warned that it is expecting to make a loss in 3Q13. It said in a statement that operating margin for the forthcoming quarter is expected to be in the range of zero per cent to negative eight per cent.