Dell to cut 6,650 jobs amid diminishing demand for company's computers
The 6,650 jobs cut is about 5% of Dell's global workforce
Dell Technologies Inc. will eliminate about 6,650 jobs because of a drop in demand for the company's personal computers.
The 6,650 jobs cut is about 5% of Dell's global workforce.
Dell's co-Chief Operating Officer Jeff Clarke wrote in a memo to employees that the company is experiencing market conditions that "continue to erode with an uncertain future," according to Bloomberg News.
Clarke explained that previous cost-cutting initiatives, which included a pause on hiring and limits on travel, are no longer sufficient.
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Dell Technologies Inc. will eliminate about 6,650 jobs because of a drop in demand for the company's personal computers. (Getty Images)
A spokesperson for Dell told Bloomberg News that department reorganizations and job cuts are an opportunity to drive efficiency.
Other companies — including Microsoft Corp., Amazon.com Inc. and Goldman Sachs Group Inc. — have recently slashed thousands of jobs to make up for a decline in demand, as consumer and corporate spending dips due to soaring inflation and heightened interest rates.
ARE TECH LAYOFFS THE CANARY IN THE US JOBS MARKET?
A spokesperson for Dell said department reorganizations and job cuts are an opportunity to drive efficiency. (Dell Technologies)
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In January, layoffs in the U.S. were the highest in two years as technology companies reportedly cut jobs at the second-highest pace on record in preparation for a potential recession.