Panasonic Cuts 10,000 Jobs as Profits Drop Amid Global Slowdown

Panasonic declared its plan to eliminate 10,000 positions across the world because the company wants to optimize its operations despite its declining profits. The company will implement half of its workforce reductions in Japan by offering early retirement options to its employees while the remaining cuts will occur through international facility closures and consolidation efforts. The Osaka-based company which produces appliances and solar panels and delivers robots and supplies Tesla EV batteries generated 366 billion yen ($2.5 billion) in profit during the fiscal year ending March despite a 17.5% profit decrease and 0.5% sales decline to 8.46 trillion yen ($58 billion). The company's CEO Yuki Kusumi expressed his disappointment about the market decline which he linked to economic slowdown and decreased electric vehicle sales but noted that Japanese air-conditioner and electronics sales performed well. The company did not mention US tariffs directly but the worldwide trade situation probably made their situation worse. Panasonic plans to reduce its size to survive economic challenges but the job reductions demonstrate how the industry faces widespread difficulties because of declining customer demand and rising market competition.