Dell plans to cut more than 6,000 jobs globally

Dell reportedly plans to cut 6,650 jobs, about 5 per cent of its global workforce. An internal memo from Dell co-CEO Jeff Clarke, obtained by Bloomberg, claims that the company's previous cost-cutting measures, such as hiring freezes and travel restrictions, "are no longer enough." ". Clarke, in the memo, apparently adds that the company will come out stronger, having successfully weathered economic downturns in the past. During the peak of COVID-19 in 2020, Dell laid off an undisclosed count of employees to "prepare for the uncertainties presented" by the pandemic.

The report does not mention which department will be hit hardest by the latest layoffs. Citing a spokesperson, the information added: "Department reorganisations, along with the job reductions, are viewed as an opportunity to drive efficiency."

After the reductions, Dell will have about 39,000 fewer employees. Only about a third of the company's employees are based in the US, according to a March 2022 filing.

Dell confirmed the layoffs to India Today Tech but did not specify the scale of the job cuts. In a statement, the company said: "Dell continuously assesses our business to ensure we're set up to deliver the best innovation, value and service to our customers and partners. This is especially important as economic uncertainty has continued. Since June, we paused external hiring and reduced spending to navigate a challenging global environment. We have further opportunity to drive efficiency through department reorganisations, which has resulted in a reduction of team members across the globe. This is a difficult decision that was not made lightly, and we'll support those impacted as they transition to their next opportunity."

Like other PC brands, ringDell faces severe challenges due to uncertain economic conditions. As per market analyst Gartner, global PC shipments decreased 28.5% year-over-year to approximately 65.3 million units in the fourth quarter of 2022. For 2022, PC shipments reached 286.2 million units, 16.2% less than in 2021.