They're absolutely getting crushed.
As of July 2008 they had 9400 employees. Then they cut 2,000 jobs:
http://www.intomobile.com/2008/07/18/sony-ericsson-posts-massive-profit-decline-cutting-2000-jobs.html
With a further 2,000 jobs now getting cut, they have laid off a total of 42% of their workforce in less than a year :O
My Mario Kart Wii friend code: 2707-1866-0957