In a presentation accompanying its third-quarter results the firm said it would reduce its headcount by 7,000 in Japan and 3,000 overseas.

Several Japanese technology companies are facing business pressures ranging from overcapacity and competition to the strong yen, and announcements of job losses, once unthinkable in a “job for life” culture, are becoming increasingly common.

Dow Jones Newswires said about half the 10,000 posts involved were full time, permanent NEC positions.

The company said the job losses would cost it 40 billion yen ($510 million) this financial year, but were expected to generate savings of well over that amount in the following two years.

It would open a new capacitor factory in Thailand after its current plant suffered “serious damage” in last year’s floods, it added.

NEC, which provides technology services and makes computers and electronic devices, said its mobile phone business had suffered from “drastic changes in (the) Japanese market”, with foreign vendors’ market share increasing.

The changes were to bring about “restructuring in businesses that require immediate reform”, it said, and would give it a “business structure with high profitability”.

“Immediate improvement of market environment cannot be expected,” it said.

“We will shift to conduct efficient business operations to generate constant profit based on current sales level.”

NEC posted a net loss of 97.5 billion yen ($1.25 billion) for the nine months to December, compared with a 53.6 billion yen loss in the corresponding period a year previously.

Turnover for the nine months was 2.11 trillion yen, down 3.5 per cent on the previous year, although it did reduce operating losses.

It projected a loss of 100bn yen for the financial year ending in March 2012 and said would not be paying a dividend.

The company had previously projected a 15 billion yen net profit for the financial year but revised that down, even though it said it would make an operating profit of 70 billion yen.

It made a net loss of 12.5bn yen in the year to March 2011.

NEC revised its sales forecast for the full year downward to 3.1 trillion yen, a 0.5 per cent drop on the year ending March 2011, as “challenging business conditions continue”.

It specifically cited global reductions in investment spending, reduced mobile phone shipments, and the impact of last year’s floods in Thailand.

Much of the losses in the current year would be due to a recalculation of deferred tax assets after a rule change, it said, blaming “business restructuring costs for the reform of cost structure, and an increase in income taxes”

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Numbers increased by 32% in the five years to 2010, data from the Higher Education Statistics Agency (Hesa) show.

There was an 6% increase in number of home students in the UK over the same time.

Last year, there were just over 400,000 overseas students studying at universities in the UK.

At undergraduate level, the five years to 2010 saw a 5% rise in home students from the UK attending UK universities and a 27% increase in overseas students.

At postgraduate level, UK student numbers rose by nearly 9%, while those of overseas students increased by 37%.

Universities compete to attract students from overseas, who can bring valuable financial contributions as well as added status to an institution.

Students from other European Union countries have to pay whatever fees are charged to local students in England, Wales and Northern Ireland.

In Scotland, where Scottish students do not pay fees, EU students from outside of the UK do not pay fees, while students from other parts of the UK do.

Students from outside of the EU are charged a range of fees – with no upper limit.

University academics say the research shows the importance of foreign students to the UK.

The coalition government, in its drive to reduce immigration, is tightening controls on student visas.

Sally Hunt, the general secretary of the University and College Union said: “This report highlights the importance of foreign students to UK universities and the economy.

“Our universities are consistently enriched by the students and academics that come to this country to study, carry out research and share their knowledge.

“Politicians must be very careful not to restrict academic access or make ill-judged comments that give the impression UK universities are closed for business.”

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Government proposals to radically alter the student visa regime have left colleges facing the possibility of having to cut recruitment of foreign students and move much of their international work overseas.

A survey by the international law firm Eversheds found that colleges and universities are doing just that – three in 10 are considering setting up a campus overseas and more than 90 per cent believe that increased collaboration with foreign colleges is likely.

The Government’s attempts to crack down on “bogus” colleges and restrict immigration threaten an industry that brought in ?42million in foreign earnings in 2008/9, according to the Learning and Skills Council. While press coverage has mostly focused on the likely effects on higher education, it is further education that stands to be hit harder by the changes.

The proposals under consultation include slashing the number of students on sub-degree courses, which can only be provided by Highly Trusted Sponsors, accredited by the UK Border Agency. There are also plans to raise the English language requirement and restrict the rights of students to work while in the UK.

This is no peripheral matter affecting only the larger colleges; the impact will be felt by most, if not all, Further Education (FE) institutions to a greater or lesser degree. If the Government’s changes have their desired effect, this revenue stream will reduce substantially as the number of overseas students drops significantly. Colleges will have to find ways to plug this gap. This would be a difficult task in good times, but one that is particularly hard in the context of a recession and widespread funding cuts targeted at the sector.

Over and above funding concerns, overseas students have a key role to play in both the British and the global economy, as well as in the social development of the UK and other countries.

“Colleges’ international work provides an excellent advertisement for UK plc,” says a November 2010 Policy Paper by the 157 Group, a membership organisation of the largest colleges set up in 2006 following Sir Andrew Foster’s Review of the future of FE colleges. It is hard to argue with this succinct statement.

The danger is that by attempting to crack down on “bogus” colleges and achieve a blanket reduction in net migration overall, the Government is proposing changes with far-reaching implications, not only for the education sector but the country as a whole.

The Government’s proposals are far reaching and include the following: raising the level of courses for which students can study on a student visa to degree level only (barring child students). Only Highly Trusted Sponsors will be able to offer courses below degree level. This clearly has significant implications for the FE sector; implementing tougher entry criteria for adult courses, for example raising the level of English language ability required and requiring students to pass a secure independent test to verify their level of English language ability; ensuring that students return overseas at the end of their courses – students wishing to continue their studies in the UK will require a new visa, proof of academic progression to a higher level course, and may be required to leave the UK and reapply from overseas; limiting the ability of student visa holders to work.

It is proposed that students will only be allowed to work on campus during the week and for an external employer at weekends and during vacations; limiting the ability of student visa holders to bring in dependents to only those students who will be studying in the UK for more than 12 months and limiting or removing the right of dependents to work; stricter accreditation procedures for education providers in the private sector; and closure of the Tier 1 post-study work visa category.

The Association of Colleges is working with its members to collate a full response to the UKBA consultation document. Eversheds is also discussing these issues with clients with a view to ensuring their concerns are put forward to the UKBA before final decisions regarding the new rules are made. Consultation closes on 31 January, so institutions do not have long.

But assuming the proposals do not change significantly as a result of the consultation exercise, many colleges will be taking immediate steps to become Highly Trusted Sponsors by satisfying the closely defined criteria laid down by UKBA, including factors such as the college’s track record of complying with its sponsorship obligations and the percentage numbers of students who fail to complete their courses. The AoC estimates that approximately 140 colleges within the UK have not yet obtained HTS status and this is something we would recommend these institutions address fast.

Finally, colleges should consider whether there are ways in which they can work within the new rules. UK- accredited courses can be delivered abroad through international expansion and collaborations.

Given Eversheds’ survey evidence of the extent to which colleges are considering setting up campuses overseas and the overwhelming drive for increased collaboration with foreign colleges, what should be done to support them? The Government could provide further help to colleges wanting to develop such an export-led approach through pump-priming schemes following the various Prime Ministers’ Initiatives.

Other options could include using the student short-term visitor rules. Colleges could follow the example of many universities in offering summer schools to international students.

In any event colleges must urgently consider their response to this very significant development.

Laura Darnley and Audrey Elliott are associates at law firm Eversheds LLP

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Jurisdiction of the Federal Board includes:-

* Islamabad Capital Territory
* All over Pakistan (Cantonments and Garrisons)
* Federally Administered Northern Areas
* Overseas

Role and responsibilities are briefly described below:-

* Affiliate institutions imparting SSC and HSSC education within Pakistan and abroad.
* Prescribe courses of instructions for SSC and HSSC
* Ensure provision of requisite facilities in the affiliated institutions
* Hold exams, appoint examiners and supervisory staff
* Institute measures to promote physical well being of students
* Conduct additional Examinations:
o Allama Iqbal Gold Medal Competitive
o Diploma in Education
To contribute towards the progressive attainment of national aims and objectives of education at the Secondary and Higher Secondary levels within the country and abroad through a fair, transparent and efficient examination system, with a futuristic vision, under overall control of the Federal Ministry of Education and in close collaboration with other Boards of Education.

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