The telecom equipment and computer Cisco announced Monday, July 18, 6500 deletion of positions, including 4,400 layoffs. This corresponds to a reduction of about 9% of the workforce and about 15% of senior executives. The press had already announced last week, major cuts.
These reductions, which will affect the world and "all functions", part of a plan to save $ 1 billion per year (707 million). They result in charges estimated at $ 1.3 billion (920 million) in total.
Cisco also announced the sale to the Taiwanese Foxconn plant that employs 5,000 people in Ciudad Juarez, Mexico. These 5000 jobs that no longer depend on the Cisco 6500 in addition to job cuts, including 2,100 voluntary redundancies.
FOCUS ON EQUIPMENT
Cisco, which connects the disappointing results last year, has made these decisions as part of its focus on the heart of business, network equipment, which led to indent the public. It's already in this objective that the Californian group announced in April off small Flip video cameras. This resulted in the elimination of 550 positions.
Cisco said the employees whose positions would be eliminated in the United States and Canada would be notified "in the first week of August," the rest of the job cuts to be entered later by the laws in force.
The action took Cisco 0.3%, to 15.44 dollars (10.91 euros), in electronic trading after the close of the New York Stock Exchange.
