SON, THE NETHERLANDS – Neways Electronics plans to restructure its Micro Electronics division operations in Echt and China as part of a cost-cutting move.

The EMS firm will also make organizational changes to its Neways Cable & Wire Solutions business unit.

Neways expects to lay off up to 80 workers and take charges of about 2.6 million euros related to the restructurings.

Revenue is lagging at the NME unit, which develops and produces hybrid microelectronics and assembles and tests custom modules. Following an automation process, the operatioons will be largely transferred to Neways Micro Electronics in Echt, the Netherlands. Neways Wuxi Electronics in China will take over the remaining activities.

The changes to the Micro Electronics unit in China will affect 65 employees, some of whom could be transferred to the company's site in Wuxi. 

Neways also plans to cut 15 jobs at its NCWS unit in the hopes of improving efficiency.

Neways said the changes should result in structural cost savings, although it did not specify the amount.

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