Siemens AG is restructuring its IT business unit, eliminating some 4,200 jobs by 2011 while planning to make additional investments of more than $667 million by 2012, the company said.

These investments are “primarily intended to help Siemens IT Solutions and Services (SIS)…form the second pillar – alongside IT outsourcing – of the SIS organization, which will be considerably simpler in the future. The solutions business will combine IT systems integration services and industry-related IT solutions—services and solutions that will also benefit the Siemens’ energy, industry and healthcare sectors,” the company said.

Roughly 2,000 of the jobs affected are in Germany, primarily at major locations in Munich and Paderborn as well as the Nuremberg/Erlangen metropolitan area, Siemens said. The company employs 35,000 worldwide. In making the job reductions connected with the reorientation of the IT service provider, Siemens said it intends to “exhaust all possibilities for voluntary measures and to implement the cutbacks in as socially compatible a way as possible.”