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Dell to cut 8,800 jobs
PC maker Dell announced a plan to save $3 billion over the next three years by cutting costs and laying off employees. The firm will close its desktop manufacturing plant in Austin, Texas and will cut about 10 percent of its workforce:
Dell Inc. is also reaffirming its plan -- announced last year -- to cut at least 8,800 jobs, or about 10 percent of its work force. In the last nine months of fiscal 2008, the Round Rock, Texas-based company cut 3,200 jobs.
The company plans a broad range of cost cuts in design, manufacturing and logistics, materials and operating expenses to stay competitive.
Dell is also reviewing alternatives for its financial services business, especially its consumer and small to medium business revolving credit financing receivables. Shares of Dell rose 31 cents to close at $19.92. They added another 28 cents to $20.20 in aftermarket activity.
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