Johnson Controls to cut 3,000 employees

Johnson Controls Glendale
Johnson Controls announced today it is immediately beginning operations of Johnson Controls-Hitachi Air Conditioning, a global joint venture that is said to provide global customers with a full range of air conditioning products and technology.

Glendale-based Johnson Controls Inc. announced today it is planning to reduce its global salaried workforce by as many as 3,000 people, or 2.5 percent of total employees, over the next two years.

“We are not releasing specifics on where the cuts will occur and how many,” said director of global media relations Fraser Engerman. “I can say these reductions will be across all of our business units and our corporate function. They will be not limited to Milwaukee or any one location.”

Johnson Controls Glendale
Johnson Controls announced it will be cutting 3,000 jobs over the next two years.

The global diversified industrial company said the reductions are due to comprehensive initiatives designed to ultimately deliver up to $250 million in annual cost savings.

In its third quarter earnings announcement, Johnson Controls announced it was initiating a comprehensive cost saving program to address existing costs. Productivity improvements continue to be realized through the ongoing implementation of the Johnson Controls Operating System (JCOS), which is said to be lowering annual operating expenses through standardization, simplification and waste reduction across the company.

“As we continually adapt to our changing business portfolio, there is significant opportunity across the company for us to reduce costs, simplify processes and increase our speed and agility,” said Alex Molinaroli, chairman and chief executive officer. “The steps we are taking now will enable a more competitive, sustainable cost structure for Johnson Controls as we continue to move the company forward.”

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