Dell is a multinational company of technology based in the United States. Founded in 1984 by Michael Dell, the company started selling personal computers and today offers a wide range of products and services, including computers, laptops, servers, storage, network devices, peripherals and solutions in cloud.
The company announced last Monday that it plans to lay off 5% of its workforce, or about 6,650 employees, according to a SEC document. These cuts come at a time when demand for PCs and laptops has slowed around the world. Global PC shipments were down 28% year-over-year in the fourth quarter of 2022, according to industry analysts at IDC. Dell PC shipments dropped 37% over the same period, while competitors Lenovo, HP and Apple crashed 28%, 29% and 2%, respectively.
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According to Jeff Clarke, Dell's co-chief operating officer, the cuts were made in an effort to "stay ahead of the impacts of the crisis". He also said that the measures Dell had already implemented, such as limiting travel, stopping outside hiring and reducing spending on outside services, were no longer enough.
Considerable reduction in the number of employees
As of January 28, 2022, Dell has approximately 133,000 employees in total, according to a filing by company at the SEC. The company's resignation announcement marks the latest round of job cuts in the security industry. technology. That's because other companies like PayPal announced plans to cut 2,000 jobs. In January of this year, Google revealed plans to lay off more than 12,000 workers, while Microsoft unveiled plans to cut 10,000 employees and Salesforce announced plans to lay off 7,000 workers.
Employees who lose their jobs face very complicated financial and emotional difficulties. However, transparency and clear communication with employees about the reasons for the reduction and what they can expect in the future are important for maintaining employee trust and engagement remaining.
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