EMC lays off more than 1000 as restructuring continues
- 08 May, 2013 19:27
As part of an ongoing restructuring, EMC has reported it will lay off more than 1000 employees worldwide.
The company reported in its latest 10-Q filing with the US Securities and Exchange Commission that in the first quarter of the year it began rolling out restructuring programs that will mean a workforce reduction of 1004 positions.
The layoffs are part of an $US80-million initiative to cut costs. The company also listed restructuring initiatives in its first quarter earnings report.
"The actions will impact positions around the globe covering our Information Storage, RSA Information Security and Information Intelligence Group segments, and is expected to result in a total charge of approximately $US80 million, with total cash payments associated with the plan expected to be approximately $US73.0 million," EMC stated.
In the first quarter, EMC's VMware implemented a plan to streamline its operations. That plan includes the elimination of about 800 positions across all major functional groups and geographies, EMC stated.
Last year, EMC implemented separate restructuring programs to create "operational efficiencies," which resulted in the layoffs of 1163 positions.
The restructuring and layoffs are expected to be complete within a year of the start of each program, EMC said.
Despite the layoffs, EMC spokesperson Lesley Ogrodnick told the Boston Globe the company expects to end 2013 with more employees than it had at the start of the year.
Lucas Mearian covers storage, disaster recovery and business continuity, financial services infrastructure and health care IT for Computerworld. Follow Lucas on Twitter at @lucasmearian or subscribe to Lucas's RSS feed. His e-mail address is email@example.com.
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