China’s Huawei to layoff workers in the U.S.

Huawei

Grappling with a wide-reaching ban on its operations with American companies, China’s Huawei Technologies Co Ltd will be laying off some of its staff in the U.S.

According to a report by the Wall Street Journal, the layoff could hit mostly its research and development lab operated as a subsidiary called Futurewei Technologies.

According to data compiled by Reuters, Huawei’s Futurewei employs over 800 people. The job cut could affect hundreds of its staff at the lab.

WSJ said in the report that Huawei could have offered its Chinese workers the option of returning to China in order to keep their jobs.

However, neither Huawei nor Futurewei has responded to the news of the layoffs.

While the U.S. has relaxed some of the sanctions particularly areas where it allows Huawei to buy network components, servers accessories and microchips that are not related to 5G and national security matter, the U.S. said it would require companies who wants to trade with Huawei to get special clearances.