Nokia announces lay offs

Handset manufacturer Nokia is set to lay off over 280 employees at its Salo plant in Finland, after the company said it would reduce the number of its smartphones on the market.

It comes as the company has been laying off employees over the past year, with the manufacturer hit hard by the financial crisis.

"Salo is a crucial part of Nokia's global manufacturing network," said senior vice president of markets Juha Putkiranta in a statement.

"Plans involving changes to employees are always painful, and they are set in motion only after thorough consideration. With these plans, our aim is to ensure the plant's future competitiveness and its special role as one best suited to the production of high value mobile devices."

The company also said the Salo plant will focus on the smartphone market in Europe, with a goal of making future deliveries much faster.

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