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Dell to lay off 6,650 employees, cut 5% of global workforce

Dell Technologies Inc will eliminate about 6,650 jobs, or about 5 percent of its global workforce.  With this, Dell has become the latest tech company to announce layoffs. In a memo, Co-Chief Operating Officer Jeff Clarke stated, "The company is experiencing market conditions that “continue to erode with an uncertain future."

Dell to lay off 6650 employees cut 5 per cent of global workforce gcw
First Published Feb 6, 2023, 4:01 PM IST

Dell has announced its plan to lay off approximately 6,650 employees due to the decline in the demand for personal computers. About 5% of the company's global workforce is predicted to be impacted by the job losses.

In a media report, Jeff Clarke, Dell's co-chief operating officer, stated that the business is dealing with challenging market circumstances and an unclear future. The persistent difficulties facing the personal computer sector are to blame for the layoffs.

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Clarke stated in the staff message, "We've survived economic downturns before and we've come out stronger. When the market recovers, we will be prepared."

Dell's disclosure of job losses joins a growing list of technology companies—including Google, Amazon, Meta, and Twitter—that have been forced to make comparable choices as a result of the pandemic's financial effect.

The once-reliable source of employment that was the technology sector has been severely impacted by the crisis, and businesses are now trying to figure out how to reconcile cost-cutting measures with the need to stay competitive.

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Competitor PC manufacturer HP said that it will be eliminating 6,000 jobs over the following three years. HP stated that the decline in PC demand was the main driver for this decision. The world's largest search engine, Google, let go 12,000 workers in January, while Amazon chose to let go 18,000 workers rather than the anticipated 10,000. 

As popular career paths like H1B visas in the US depend on a company to remain relevant, layoffs are worsening the situation for immigrants. The sacked workers are given a 60-day window of opportunity to find new employment or depart the country.

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