Filed under: Bad news, Dell (DELL), Employees
Dell Inc. (NASDAQ: DELL) will be laying off about 250 technical support employees at its Nashville, Tennessee customer service location as part of a broad cost restructuring movement that was announced this past May. The job cuts will be effective immediately according to the company, with affected employees being offered sales positions, with others receiving severance packages and outplacement assistance. That’s good — it’s hard to think of a technical support specialist being a good salesperson. Those two mindsets rarely co-exist in the same brain.
Dell has been busy all summer restructuring support operations to give the company a leaner cost structure. At the same time, it’s revamping much of its consumer product line to better compete with rival Hewlett-Packard Corp. (NYSE: HPQ) and entering the retail market (in what I consider to be a too hurried fashion). However, that’s not stopping Dell from having its boring PC boxes loaded up on pallets at your local Wal-Mart Stores, Inc. (NYSE: WMT) location.
Dell’s 81,000 global employees will see their ranks cut by about 10% based on what the company announced in May, so there are more cuts coming. Right now, Dell officials are not saying how far along the company is in the move to lay off over 8,000 employees globally or what the numbers are for each business unit within the computer manufacturer. The Tennessee support location has grown from about 200 employees to more than 4,000 since opening in 1999, but business needs have changed quite a bit since then.
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