Japanese electronics giant Panasonic Holdings has announced that it will cut 10,000 jobs worldwide—5,000 in Japan and 5,000 in other countries.
This step will impact around 4% of its total global workforce. The company says the decision is aimed at cutting costs, improving efficiency, and boosting profit margins.
Panasonic expects this restructuring to help increase profits by $1 billion by March 2027, and $2.1 billion by March 2029, according to a Reuters report.
When and Where Will the Layoffs Happen?
Panasonic said the layoffs will take place between now and March 2026.
Most of the job cuts will come from sales and indirect roles, not from core manufacturing or product development. The company plans to:
Merge offices
Shut down loss-making businesses
Offer voluntary retirement schemes
All steps will be taken in line with local labor laws in each country.
CEO Takes Pay Cut
Panasonic’s CEO Yuki Kusumi will take a 40% salary cut. In an interview with Nikkei newspaper, he said, “These steps are necessary if we want to stay ahead in the industry.”
In a statement, Panasonic explained that it wants to build an organization where every employee is highly productive.
The company is also working to streamline operations, merge overlapping departments, and optimize IT spending.
Focus on Future Technologies
Going forward, Panasonic will focus more on high-growth areas like:
Artificial Intelligence (AI)
Biometric technology (e.g., facial recognition systems)
Energy storage
The company is also developing facial recognition systems for use at Expo 2025 in Osaka.
Expected Savings
Panasonic expects to save about $1 billion from this entire restructuring. Of that, around $483 million will come directly from job cuts.
However, the company also noted that these figures are only estimates and could change depending on how the process unfolds.
