Sony to freeze staff salaries

Sony has announced plans to freeze staff salaries and cut bonuses throughout the next fiscal year.

The electronics giant is expected to announce losses of $2.65 billion (£1.8 billion) for the last fiscal, with the firm's shares dropping by 1.4%. The strengthening of the Japanese Yen and its impact on exports is thought to have contributed to the firm's losses.

The wage cuts will affect the entire corporate structure, including senior management, who will suffer 35-40% bonus reductions. "Executives will also be slugged with huge cuts to bonuses and salaries," Japanese trade publication Nikkei added.

Other corporations, including Toshiba, Hitachi and NEC, have claimed they are considering similar measures to Sony.