Cisco plans to cut up to 14,000 jobs, or 20 per cent of its total workforce, according to CRN, citing multiple sources close to the company.
It is not exactly clear at the moment where the axe will fall but such a programme is a general reflection of the ongoing woes in the infrastructure market, with rivals Ericsson and Nokia recently forecasting further cutbacks, following unconvincing financial results.
The US giant is expected to formally announce the cuts “within the next few weeks”, having already offered early retirement packages to many employees.
The headcount reduction will range from 9,000 to 14,000 of the firm’s global workforce, said the report. Nobody from the company has commented.
Cisco is set to announce its fiscal Q4 results later today, with CEO Chuck Robbins (pictured) now facing pressure to give more details of such a wide-ranging programme.
The US giant has a track record of wielding the axe at this time of year. In August 2014, it announced plans to cut 6,000 jobs, or eight per cent of its total workforce at the time. In August 2013, the company axed 4,000 employees, or about 5 percent of the total. It also cut 1,300 jobs in July 2012. This followed a reduction of 6,500 employees the previous year, representing about 9 percent its global workforce. Cisco did not wield the axe last summer, as Robbins ascended to the top spot in July.