Dell it now has 120,000 employees (after many layoffs), about 13,000 fewer than it had at the beginning of 2023.
According to a company filing with the U.S. Securities and Exchange Commission, as of Feb. 2, there were 120,000 employees on the payroll. On Feb. 3 of last year, Dell had announced that its workforce was 133,000. Dell had said it would make some layoffs last year , but the 13,000 reduction was much larger than expected.
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In its report, the company says it has taken steps to reduce costs , including limiting hiring , employee reorganizations and other actions.
When Dell announced it would cut jobs due to falling demand for computers, it was expected that about 6,650 workers. However, new figures show that almost twice as many employees were laid off.
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Most of the layoffs may be due to even lower PC. Just a month after the February layoffs that year, IDC cut its PC and tablet by 26 million. However, the emergence of AI-enabled is expected to revitalize the PC market, which will also help Dell. IDC predicts that in 2024, there will be a 3.7% increase.
With the mass layoffs, Dell probably sought to strengthen its efficiency and competitiveness in the market. The layoffs lead to a reduction in operating costs and allow the company to invest more in innovative technologies and new products.
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However, Dell will need to carefully manage the impact of this workforce reduction. The loss of expertise and talent could negatively impact productivity and the company's ability to adapt to new purchasing trends.
Additionally, the company's image and reaction customer should be taken into account . Layoffs can cause negative reactions and affect customer trust in Dell.
Finally, Dell should review its human resource development strategies. Investing in the training and development of existing employees can be a critical aspect for the company's survival and growth in the future.
Source: www.theregister.com
