Fujitsu, one of the world's largest IT services providers, has announced plans to cut 1,200 UK jobs by the end of the year.
In a statement, the Japanese company said that "action is necessary to ensure that the company remains competitive in the current difficult global economic climate".
Over one thousand employees at the firm's Services arm are to be given a statutory 90-day consultation, after Fujitsu revealed that other cost-cutting measures have proved to be insufficient.
"To date the company has taken a number of prudent measures to keep its cost base down and avoid job losses, including a company-wide pay freeze, a reduction in the number of contractors and temporary workers, a re-training programme and tight control of recruitment. In addition, strict controls have been applied to operational and capital expenditure," the company said.
Fujitsu employs over 175,000 employees worldwide, with an estimated 12,500 said to be UK workers. The firm states the decision to make job cuts was made "reluctantly", adding that affected employees will be offered guidance and support.