Siemens announced Tuesday its plans to cut about 4% of its workforce as part of an overhaul and to counter the global economic downturn.
The German company said the reduction of about 16,750 jobs globally will largely affect administrative positions (12,600) while the remainder will be phased out due to restructuring.
Siemens said it hopes to reach a savings target of almost $2 billion by 2010 and boost profit margins.
Siemens currently employs about 400,000 people.