Nortel Networks confirmed it closed its photonics plant in Sydney on Wednesday, as part of its worldwide cost cutting plan. However, the company would not reveal the number of workers affected by the closure.
-Employees are included in the 3,000 figure. We're not breaking numbers down in geographic regions," a Nortel Networks spokesperson said.
The manufacturing plant produced high-speed optical network products for Nortel Networks.
A source from Photonics Australia told ZDNet, there would have been approximately 200 staff employed at the plant.
As reported in the Australian Financial Review, Nortel Networks acquired Photonics Technologies, an Australian company, for US$35 million. In July 2000, Nortel said it was planning to pump a further US$100 million into the plant.
Last week, Nortel Networks released its second quarter earnings, revealing a loss of US$19.4 billion.
The company said the closure of the photonics manufacturing plant is part of its plan to realign its cost structure.
