Nokia Siemens Networks (NSN) has confirmed that it will continue to operate in Munich with around 2,000 employees remaining in the company’s employment as part of a newly-founded NSN company.

However, a further 1,600 employees will join an interim employment company that will provide support and training for roles outside NSN.

The company’s decision on whether to remain in Munich was dependent on employees accepting this offer through an agreement struck with trade union IG Metall in March. The union set out a condition that 2,000 NSN jobs remain at NSN’s St.-Martin-Strasse site in Munich. NSN’s original plan was to close the facility.

The acceptance rate of people moving to the interim company will be known Wednesday, after the deadline was extended to allow people who had not previously been able to respond to the offer to do so. Employees who do not accept the offer to join the interim company will be given their notice as has been agreed with employee representatives.

Herbert Merz, chairman of the Supervisory Board of NSN in Germany, said the solution allows the company to reach its restructuring objective in Munich ahead of schedule and provide “greater planning certainty.”

“It provides a good and socially acceptable solution for employees affected by the restructuring, and means that those employees staying with the company will not need to relocate from Munich,” added Merz.

NSN announced last November a global restructuring programme including the loss of 17,000 jobs, equivalent to 23 percent of its workforce. The company said it aims to stick to its objective, announced in January, to cut 2,900 of its 9,100 roles in Germany. The plan is to concentrate operations in five locations in the country, with all other sites to be closed.