French nuclear firm Areva has launched negotiations with labour organisations as it looks to reduce overhead costs and compensation by cutting up to 6,000 jobs.
The state-controlled group intends to cut down labour costs by almost 15% in France and 18% globally, in order to make up for, four years of consecutive losses.
Areva had recorded a net loss of €4.8bn in 2014.
Economic situation of the firm necessitates immediate cost saving measures for up to €1bn by 2017.
Areva human resources director Francois Nogue was quoted by the news agency as saying: "We expect 3,000 to 4,000 job cuts in France and 5,000 to 6,000 globally, but more towards 6,000."
The firm has also announced measures to reduce compensation, such as, profit-sharing programme or short-term incentives, to reduce impact on employment.
Consultations will be done at group level and site level to ensure that workforce optimisation is done on a voluntary basis, the company added.
Initial negotiations will take place during May and June this year.
Areva chief executive officer Philippe Knoche said: "Areva must begin immediately with its competiveness plan.
"Whatever may be the options chosen to implement the strategic roadmap and define the financing plan, it is urgent to take the necessary measures to adapt the costs of our business to the reality of its mark."
Photo: Headquarters in Courbevoie, France. Image: courtesy of Olivier Passalacqua.