CISCO SYSTEMS HAS announced that it is to trim its 65,000-strong workforce by 2 per cent, leading to the loss of 1,300 jobs worldwide.
In an e-mailed statement, the company said the cuts are part of a continuous process of simplification and assessment of the economic environment “in certain parts of the world”.
According to Bloomberg, chief executive John Chambers is working to reverse a slowdown in sales growth and curb further market-share losses. Shares have fallen by about 11 per cent so far this year as profit forecasts were below expectations.
BBC News reports that the firm wants to save $1 billion and last year shed 6,500 posts in initial cost-cutting plans. Cisco has cited Europe’s debt crisis, weak government spending and a drop in corporate customer orders for its recent below-par performances.
The computer networking giant has expanded its presence in Ireland recently with the announcement of 115 new jobs and a €26 million investment at its research and development facility in Galway. The company were not available to comment on whether the job losses will impact employees in Ireland. The firm also employs about 100 people in Dublin.