Nokia Oyj has cut almost 2,000 jobs in China, as part of a sweeping cost-reduction program as the Finnish company grapples with a sluggish telecom equipment market, according to a person familiar with the matter.

Nokia has laid off close to 2,000 people or about a fifth of its employee base across Greater China and plans to cut another 350 jobs across Europe as part of efforts to lower costs, according to two sources familiar with the matter.

Nokia is reportedly laying off nearly 2,000 employees, accounting for about 20 per cent of its workforce in Greater China. It plans to cut an additional 350 jobs across Europe as part of its cost-reduction strategy,

The layoffs are part of cost-cutting measures to reduce expenses by up to $1.26 billion by 2026, the company said in a filing.

Nokia has laid off around 2,000 employees, about 20% of its workforce in China, and plans to cut another 350 jobs across Europe to reduce costs, Reuters