Dell fires employees due to weak demand
2023.02.06 07:59
Dell fires employees due to weak demand
By Ray Johnson
Budrigannews.com – According to Dell Technologies Inc.’s announcement on Monday, the PC manufacturer will cut approximately 6,650 jobs—or 5% of its global workforce—in preparation for economic uncertainty.
The company joins a long list of American firms including Goldman Sachs (NYSE:) to Alphabet, Inc. Inc., which recently announced thousands of layoffs to help weather a decline in demand as consumer and business spending shrinks as a result of high inflation and rising interest rates.
In a memo to employees, co-Chief Operating Officer Jeff Clarke wrote, “What we know is market conditions continue to erode with an uncertain future.”
In the memo, which Dell made public, Clarke stated that Dell’s actions so far to navigate a challenging economic environment, which included suspending external hiring, limiting travel, and decreasing spending on outside services, were “no longer enough.”
According to a report released on Thursday, technology companies cut jobs at the second-highest rate ever recorded in January to prepare for a possible recession, resulting in layoffs in the United States exceeding two years.
As of January 28, 2022, Dell had approximately 133,000 employees, with approximately one third based in the United States.
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