SAN FRANCISCOIP vendor Virage Logic Corp. will close R&D centers in New Jersey and Minnesota and cut jobs as part of a restructuring plan that is expected to save the company approximately 13 percent in labor expenses, Virage said Wednesday (Jan. 21).
Work being done at the R&D centers will be consolidated into Virage's four larger R&D centers, Virage said. The closures will result in the elimination of an unspecified number of jobs, a spokesperson for the company said.
Some of the people stationed at the New Jersey and Minnesota facilities will be relocated to other facilities or work from home offices, the spokesperson said.
The restructuring also includes realignment of the company's sales organization, Virage said, including the addition of five new sales representative firms.
"This restructure, together with our on-going transformation initiatives, underscores our commitment to continually improve our global operational efficiencies and reduce our overall cost structure to solidify the foundation for our future growth and scalability," said Alex Shubat, Virage president and CEO, in a statement. "In today's uncertain economic environment, we are even more vigilant in the monitoring and management of our resources to ensure we remain competitive."