Dell to cut 15,000 employees this week

Source: Internet
Author: User
Keywords Dell Dell Layoffs
Tencent Technology, February 4 compiled sources revealed in Monday, as the privatization completed less than 5 months of Dell's business focus from the PC to the enterprise IT Solution, the company is looking at the big layoffs. It is reported that Dell this round of layoffs will involve more than 15,000 employees, accounting for about 15% of the total number of employees. The Register of the technology website quotes Dell insiders as saying that Dell's layoffs will start this week, involving more than 15,000 employees, and will be in all parts of the company. Like other PC makers, the decline in demand in the global PC market in recent years has been a huge hit for Dell as well as the rise of mobile devices such as tablets and smartphones. October 29, 2013, after 8 months of effort, Dell founder, chief executive Michael Dell and the Silver Lake Partner Fund jointly proposed a total of 24.9 billion U.S. dollars in the privatisation of the deal officially completed. At the end of the day's deal, Dell picked up the cards from the Nasdaq Stock market. Dell, a private company, is able to accelerate the transition and reduce the company's over-reliance on the PC business. Michael Dell said last December that "we can focus on our customers 100%, because we don't have to think about other things – shareholders, which allows us to focus on making bold investment decisions in the long run." When we announced the privatisation deal on February 5, 2013, we were prepared to be more aggressive and to gain market share, and we are doing the same now. But as a public company, it is very difficult to do this because of the need to weigh the short-term income problem. In the quarterly conference calls of listed companies, investors and analysts are always asking ' what will happen? ' "or" What would happen? ' All right! It all passed. "Dell currently employs about 110,000 of the global workforce, and the layoffs are part of the company's transition." The register says Dell will provide a two-month salary to the Laid-off staff, one-week salary compensation for each year, plus 75% bonus and 18-month medical insurance, as well as re-employment training. In a Monday statement, a Dell spokesman said, "the company can confirm that a small number of members of the Dell Global team have accepted the company's offer of compensation for the initiative exit." Over the past few years, we've been taking steps to streamline the business, simplify operations, and improve efficiency. At the same time, we are recruiting in corporate business strategy areas such as hardware and software development, technology, and global customer coverage. "As consumers migrate from PCs to mobile devices, including companies such as Dell and Hewlett-Packard, they are affected by this trend." HP, which is in the middle of a five-year transition period, is currently in the midst of a 34,000-person layoff to cut corporate spending. IBM has already struck a deal with Lenovo to sell low-end server business to the latter, making it more focused on areas such as cloud computing and large data analysis. For Dell, the company spent the last few years1 billion of billions of dollars in acquisitions of dozens of innovative companies have strengthened the company's capabilities in areas such as networking, storage, corporate software and cloud computing. In addition, Dell has introduced devices such as tablet computers to move into mobile devices. This January 28, Dell announced an alliance with Cumulus NX to launch a network device running a Linux operating system. Dell's move means it will challenge Cisco, Juniper NX and other companies in the network equipment market. Job cuts rumors The register last month reported that Dell will cut sales and marketing staff by 30% in Europe, the Middle East and Africa, and cut 20% of its sales in the US. It is unclear what the company might do to the Asia-Pacific region or other parts of the Americas. But since Dell's salespeople are accustomed to traditional PC and server sales thinking, it is difficult to reorganize themselves, so layoffs are inevitable. Industry insiders expected that after the completion of the privatization of Dell, may be the PC and other areas of lower profit margins, and will not involve business sales. But for now, it appears that Dell is poised to start a total layoffs. Since Dell did not disclose the total number of employees in each department, it was only possible to estimate the scale of the layoffs. The register estimates that sales and marketing staff account for about One-third of Dell's 110,000 employees. Suppose that a 25% job cut for sales and marketing personnel means that 9,000 Dell salespeople will lose their jobs. Dell responded by saying that the register was in the wrong proportion. "We have been evaluating and deploying a variety of data to improve operational effectiveness and allocate relevant resources," the company said in its statement. If necessary, we will continue to make difficult decisions to ensure our long-term success-some of which may affect our staff. We will strive to establish a variety of channels to serve users and will invest in sales coverage and training. ”
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