Nortel Networks has signed a back-office deal with PricewaterhouseCoopers to provide the firm with business services such as payroll, accounts payable, employee training and employee expense reimbursement, the companies announced last week.
Nortel's five-year deal with New York-based PricewaterhouseCoopers is in line with its business strategy to identify areas that could be handle through outsourcing in order to operate more efficiently and reduce costs, said David Chamberlin, a spokesman for the Brampton, Ontario-based company. Nortel's market includes Internet telephony, data, electronic-business and wireless products. Under terms of the agreement, approximately 1,000 Nortel employees worldwide will move to PricewaterhouseCoopers offices around the world to provide the back-office services, according to a statement by the companies.
"We compete in an exceptionally fast-moving marketplace in which flexibility, speed and agility are key to maintaining global leadership," said Art MacDonald, Nortel's senior vice president for corporate services, in the statement. "PricewaterhouseCoopers understands our needs in this area, both now and for the future, and will help create new business value for our organisation."