French President François Hollande implored Alcatel-Lucent on Tuesday to save as many jobs as possible in France after the telecom equipment maker said it plans to cut 10,000 jobs worldwide, about 14 percent of its workforce.
The announcement by the Franco-American group, which plans to eliminate as many as 900 posts in France, was criticized by Hollande’s government, which is battling with record levels of unemployment.
“In the framework of the decisions to be taken, the restructuring plan, it should be examined how the job cuts can be limited as much as possible,” Hollande said in the central town of Saint-Etienne, where he was promoting government efforts to cut unemployment.
Alcatel-Lucent said the job cuts represented its last chance to turn itself around and stem losses.
The product of a 2006 transatlantic merger aimed at creating a global giant, Alcatel-Lucent told a European works council meeting that it intends to axe nearly one in seven of its employees.
● Goldman Sachs says former World Bank president Robert Zoellick will rejoin the investment bank as chairman of its international advisory board. The appointment marks Zoellick’s second stint at Goldman Sachs. Before taking the helm at the World Bank in 2007, he served as vice chairman, international, at the bank. President Obama opted not to renominate Zoellick when his term expired in 2012.
● Samsung lost a bid to stop an import ban handed down by the International Trade Commission on Tuesday, just months after the Obama administration agreed to overturn a similar ban against older Apple products. The Office of the U.S. Trade Representative declined to overturn a similar import ban against Samsung, saying that the ban did not pose a great enough threat to the consumer market to stop.
● Xerox said the Securities and Exchange Commission was investigating some accounting practices at Affiliated Computer Services, an IT outsourcing firm it bought in 2010 for $5.5 billion. The investigation is focused on whether revenue from some ACS equipment resale deals should have been presented on a net rather than gross basis, primarily before the acquisition, Xerox said in a regulatory filing.
● Nest, having shown what it can do by making the thermostat a little smarter, is now taking on a second home appliance for a modern makeover: the smoke detector. The firm announced its new project Tuesday to coincide with Fire Prevention Week, showing off a device that detects smoke, heat and carbon monoxide levels.
● Five grim-faced ex-employees of imprisoned financier Bernard Madoff were introduced to 200 prospective jurors Tuesday in New York as jury selection began in their fraud trial. Among those on trial are Madoff’s longtime secretary, Annette Bongiorno; a supervisor in his private investment business; and his director of operations for investments, Daniel Bonventre. Six others pleaded guilty in the case, including Frank DiPascali, Madoff’s former finance chief and the government’s prize witness.
● Microsoft is paying a hacking expert more than $100,000 for finding security holes in its software, one of the largest such bounties awarded by a high-tech company. James Forshaw, who heads vulnerability research at the London-based security consulting firm Context Information Security, identified a new “exploitation technique” in Windows, which will allow it to develop defenses against a class of attacks.
●●10 a.m.: Wholesale trade.
●Earnings: Costco, Family Dollar.