JAKARTA - Dell Technologies Inc is the latest technology company to carry out massive efficiency. The US company will terminate employment (PHK) and eliminate 6,650 jobs, or about 5% of its global workforce.
This is due to losses due to a decrease in demand for personal computers, Bloomberg News reported on Monday, February 6.
The company is experiencing market conditions that continue to erode with uncertain futures, wrote Dell co-Chief Operating Officer Jeff Clarke, in a memo to employees.
" PRE-cost cuts measures have been taken, including recruitment pauses and travel restrictions, but are no longer enough," Clarke said in the memo.
The departmental reorganization and layoffs are opportunities to boost efficiency, a company spokesperson told Bloomberg News.
Dell did not immediately respond to an email from Reuters for comment on the report.
Big tech companies such as Microsoft Corp to Amazon.com Inc and Goldman Sachs Group Inc have recently cut thousands of jobs to help address declining demand as consumer and enterprise spending shrink due to high inflation and rising interest rates.
LAYOFFS in the United States hit a high of more than two years in January as tech companies cut jobs at a second-highest in record so far to prepare for a possible recession.
Many factors influence big tech to carry out massive layoffs. The causes include slowing business growth. When business growth slows down, the company often decides to reduce costs by cutting the number of employees.
The existence of new technology replaces work previously carried out by humans, thus making some work no longer needed.
Then the change in business strategy can affect the number of employees needed by the company. The worst thing at this time is the economic crisis that forces companies to cut costs by cutting employment with their employees.
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