PCR Tech and IT retail, distribution and vendor news
Dell has begun to layoff staff worldwide, with rumours claiming over 15,000 employees will be made redundant.
The Register, citing “people close to the Round Rock Dell HQ area”, reported that cuts are to be made in every department of the PC firm – with some already having to increase cuts by 15 per cent.
The sources estimate that the number of staff laid off worldwide is more than 15,000.
Dell denied the scale of the cuts, telling The Register that only "a small percentage" of staff had been affected.
Emails claimed to be internal communication from the company are said to discuss “simplifying client support structure – both basic and up sell”, “[combined] client support structure – Consumer and Commercial come under one umbrella” and a move wherein “up sell offers will align with Pro support and will ‘evolve’”.
The firm isn’t the first PC maker to be rumoured to make drastic cuts – HP was recently reported to be planning to cut hundreds of jobs in the UK. The company laid off over 1,000 staff late last year, and announced that over 27,000 jobs would be lost worldwide by the end of 2014.
Responding to the reports, a Dell representative told PCR that "the speculative work force reduction number and percentage regarding Dell reported by The Register is wildly inaccurate".
"Dell has taken steps to optimize its business, streamline operations and improve its efficiency over the past few years."
"We continually review our operations in an effort to remain competitive and determine where we can add the most value to customers."
"We can confirm that a small percentage of Dell’s global team members accepted the company’s offer of a significant severance package associated with a voluntary separation program."
"Meanwhile, Dell is hiring in strategic areas of our business including hardware and software development, engineering and customer coverage worldwide."
"We will continue to make prudent business decisions over time."
Asked how many staff working in Dell’s UK arm would be affected by the action, Dell told PCR: "Country-level figures will not be shared."
