UPDATE 2-Dell to slash about 6,650 jobs as it battles slowing demand

Kitco Media
By Reuters
Published:
Updated:
Reuters
(Changes source to company) Feb 6 (Reuters) - Dell Technologies Inc will eliminate about 6,650 jobs, or 5% of its global workforce, the company said on Monday, as the PC maker grapples with falling demand and braces for economic uncertainty. The company joins a raft of U.S. companies ranging from Goldman Sachs to Alphabet Inc that have announced thousands of job cuts recently to help ride out a demand downturn as consumer and corporate spending shrinks due to high inflation and rising interest rates. "What we know is market conditions continue to erode with an uncertain future," co-Chief Operating Officer Jeff Clarke wrote in a memo to employees. Dell's moves so far to navigate a challenging economic environment, including pausing external hiring, limiting travel and reducing outside services spending, were "no longer enough", Clarke said in the memo, which the company made public. Layoffs in the United States hit a more than two-year high in January as technology firms cut jobs at the second-highest pace on record to brace for a possible recession, a report showed on Thursday. Dell had about 133,000 employees as of Jan. 28, 2022, of which, about one-third were based in the United States.


The news was first reported by Bloomberg News earlier on Monday. (Reporting by Shivani Tanna and Eva Mathews in Bengaluru; Editing by Savio D'Souza)

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