CHICAGO (Bloomberg) - Tyco International Ltd.'s ADT division, the world's biggest provider of security systems, cut 500 jobs in its North American operations because of lower demand from retail and commercial customers.

The cuts represent about two percent of ADT's workforce in the US and Canada, spokeswoman Ann Lindstrom said on Friday in a phone interview. The affected employees were notified on February 11 and 12, and the majority of the cuts were effective immediately, Ms Lindstrom said.

ADT North America, based in Boca Raton, Florida, began "cost containment efforts" more than six months ago to reduce operating expenses, according to a statement. The company cut back on discretionary spending, meetings and travel.

"Lower sales volume for security at retail and other commercial establishments is causing us to reduce our workforce," ADT Security Services said in the statement.

Residential business "remains very strong," Ms Lindstrom said.

The ADT North America unit has more than 24,000 workers. Parent company Tyco International is based in Bermuda and run from West Windsor, New Jersey.