Cisco Systems to cut 6000 jobs
Source: Sydney Morning Herald
August 14, 2014 - 12:10PM
In what has become almost an annual ritual, computer networking and communications colossus Cisco Systems on Wednesday said it was laying off thousands of employees as it struggles with sluggish sales and a range of fierce competitors.
The company announced 6000 job cuts on a conference call following its quarterly earnings report, or roughly 8 per cent of its workforce, and has trimmed nearly 20,000 jobs worldwide over the last five years. Although Chief Financial Officer Frank Calderoni said the company expected to reinvest much of the savings from the cuts announced Wednesday into key growth areas, Cisco officials would not say how many new people would be hired in those areas or where they would be employed. They also did not say where the cuts would occur.
A spokeswoman for Cisco Australia said the cuts would have a global impact. It's understood the company employees around 1000 people in Australia.
Noting that the San Jose corporation needs to make changes to keep pace with rapidly changing technology, Baird Equity Research analyst Jayson Noland said "it's probably frustrating to be an employee there when they are going to have major restructuring efforts like this every year or two." But he added, "if your skills are stale as an engineer or as a sales and marketing guy, you're running the risk of being replaced."
Read more: http://www.smh.com.au/it-pro/business-it/cisco-systems-to-cut-6000-jobs-20140814-103wvu.html
With Profits Slipping, Cisco Plans to Cut Jobs
AUG. 13, 2014
SAN FRANCISCO — Cisco Systems may be doing a little better than Wall Street expects, considering its technology and sales challenges. But that does not mean the company will avoid layoffs in the coming months.
On Wednesday, Cisco released fourth-quarter earnings that illustrated its troubles as one of the tech industry’s giants competing in a rapidly changing environment. In a conference call with investors and analysts, Cisco executives said the company planned to cut up to 6,000 jobs, or 8 percent of its work force, in the coming months. They offered no specific timeline for the cuts.
Long the dominant player in hardware that ships the world’s digital information around and between computer centers, Cisco faces challenges from younger companies that, while far from toppling the company from its perch as one of tech’s bellwethers, have made it harder for it to command the profit margins it once did.
Fourth-quarter revenues, Cisco said, were $12.36 billion, down from $12.42 billion in the same quarter a year ago. Net income was $2.25 billion, or 43 cents a share, down from $2.27 billion a year ago.
http://www.nytimes.com/2014/08/14/technology/with-profits-slipping-cisco-announces-job-cuts.html
= new reply since forum marked as read
Something is very very very very very very wrong here. 
