Nearly 20 percent of the tech company’s global workforce will be cut, including early retirement packages, sources close to the company told CRN on Tuesday.
The cuts are said to be due to the company’s switch from being a hardware-based operation to a software-based operation. Fourth quarter earnings are expected to be announced Wednesday after markets close. Analysts expect a drop in sales of 2 percent.
Cisco spokeswoman Andrea Duffy declined to comment.
Customer demand has grown for software-based networking, management and security products from the company and CEO Chuck Robbins, has been pushing Cisco in that direction since taking over in 2015.
In April, the company had about 73,100 employees, according to Bloomberg. Cisco laid off about 6,000 people in August 2014.
Cisco’s stock has jumped 15 percent over the past three months to a nine-year high of $31.23 per share this week.
Source: GNA/News Ghana
