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Xerox copies HP and Yahoo by announcing massive job cuts.
By Stuart Turton, 17 Dec 2008 at 09:19
Xerox is to axe five per cent of its employees over the next six months, in the hopes of saving $200 million (£127 million) in annual costs.
The printing giant announced the job losses as part of its third quarter results, which saw net income rise to $258 million, from $254 million a year ago. However, gross margins declined to 39.2 per cent from 40.1 per cent.
The company blamed the results and job losses on a tough economic environment which has seen demand for expensive office equipment fall dramatically.
"To better align our operations with these changes, we're accelerating actions to reduce our cost base and drive operational improvements across the board," said Xerox chief executive Anne Mulcahy in a statement.
As part of this, the company plans to take a $400 million charge in the fourth quarter in order to accelerate its cost cutting plans.
Xerox is the latest in a string of company's to slash its staff, with HP dropping 3,378 jobs in the UK and Yahoo cutting loose around 1,500 employees in the last month alone.
By Stuart Turton, 17 Dec 2008 at 09:19
Xerox is to axe five per cent of its employees over the next six months, in the hopes of saving $200 million (£127 million) in annual costs.
The printing giant announced the job losses as part of its third quarter results, which saw net income rise to $258 million, from $254 million a year ago. However, gross margins declined to 39.2 per cent from 40.1 per cent.
The company blamed the results and job losses on a tough economic environment which has seen demand for expensive office equipment fall dramatically.
"To better align our operations with these changes, we're accelerating actions to reduce our cost base and drive operational improvements across the board," said Xerox chief executive Anne Mulcahy in a statement.
As part of this, the company plans to take a $400 million charge in the fourth quarter in order to accelerate its cost cutting plans.
Xerox is the latest in a string of company's to slash its staff, with HP dropping 3,378 jobs in the UK and Yahoo cutting loose around 1,500 employees in the last month alone.
