January 31, 2018 07:55 PM
The Xerox takeover by Fujifilm announced early Wednesday morning leaves uncertainty for 3,400 Rochester area employees.
Both companies will merge into Fuji Xerox, with Fuji holding a majority stake in the company.
The big question is how the merger impact local jobs.
"When you have a consolidation there's always going to be opportunity for cost reductions," said Bob Duffy, President of the Greater Rochester Chamber of Commerce. "That's the way businesses work. I would sense that Xerox is pretty lean here already in terms of what they do."
As part of the merger, Fujifilm said it will cut 10,000 jobs globally. At this point, it appears most of those will be in Asia. Duffy has been trying to get assurance on that since Wednesday morning. He told News10NBC that he spoke with higher-ups at Xerox on Wednesday.
"There appears to be no plans at this time for any changes with jobs, and I've certainly been around long enough," Duffy said. "We don't know the outcome. We can't predict the future, but coming from people that are very forthright, they're not appeared to be concerned. If anything, we're hoping this could enhance some of the markets Xerox has."
Both Xerox and Fujifilm have struggled with slow sales of photocopy products, so they're moving their focus to developing ink-jet technology, medical imaging and artificial intelligence.
Duffy is hoping the plant in Webster will be a good location for some of that work.
"There is a sense with this merger that they will enhance their service delivery systems, their R&D (research and development), their innovation, their products," he said. "They feel it’s going to be an enhancement to customers and shareholders."
Pending regulatory approval, the merger is expected to be complete by August.
Over the next several months as the plans develop, we should have a better idea of how it will impact the Rochester area.
Created: January 31, 2018 07:55 PM
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