Marconi to axe 1,500 UK jobs

Telecommunications group Marconi is to axe 1,500 jobs in the UK over the next 12 months.

The plans are part of a shake–up which will see the company reorganise its business into three divisions, for networks, wireless and enterprise activities. It said it plans to create 3,000 "highly skilled, high technology jobs" at sites in Ansty, near Coventry, Nottingham and Northampton.

The announcement came amid a slowdown in Marconi's sales in the United States, where it generates about two–fifths of its business.

Marconi refused to specify where it would eliminate the jobs.

The company also confirmed that deputy chief executive John Mayo will take over as chief executive, replacing Lord George Simpson who will become chairman. The current chairman, Sir Roger Hurn, is retiring in July.