Cisco’s workforce reduction to cost up to $550 million
11 Nov 2013 12:20 AM GMT
Networking solutions major Cisco has said its plans to reduce the global headcount by 5 per cent will cost the firm as much as $550 million in cash on severance, one-time termination benefits and other costs. The US-based firm had announced in August this year that it will reduce its headcount by about 4,000 employees or 5 per cent of its global workforce. Cisco employs over 75,000 people globally, including India.
'The company currently estimates that it will recognise pre-tax charges to its financial results in an amount not expected to exceed $ 550 million consisting of severance and other one-time termination benefits and other associated costs,' Cisco said.
The company is rebalancing its resources with a workforce reduction plan that will impact about 4,000 employees or 5 per cent of its global workforce.
'The company currently estimates that it will recognise pre-tax charges to its financial results in an amount not expected to exceed $ 550 million consisting of severance and other one-time termination benefits and other associated costs,' Cisco said.
The company is rebalancing its resources with a workforce reduction plan that will impact about 4,000 employees or 5 per cent of its global workforce.
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