Cisco to Lay Off 1,022 Workers in San Jose

Cisco Systems is poised to lay off 1,022 workers at its San Jose, Calif., campus on Friday, according to a filing with the State of California. The cuts are part of Cisco’s previously announced plans to slash 4,000 workers from its payroll beginning this quarter.

Cisco logoHeading into an uncertain economic environment and determined to keep its expenses in check against any softening sales, the networking giant is cutting 5 percent of its workforce. Although Cisco is bracing itself for tough economic times, its fourth quarter performance was favorable: The company posted record revenues and its bottom line was profitable. In part, that may make the layoffs more difficult to understand for the workers who will be let go.

In September, Cisco began issuing layoff notices to its non-U.S. and Canadian workers, according to a report in the Triangle Business Journal. Earlier this month, its U.S. and Canadian workers began receiving layoff notices.

While it’s unclear how many of the 4,000 workers have received notices, Cisco previously said it planned to make a large portion of the cuts in the current quarter, which ends this month.

Some of the areas that will likely see fewer layoffs and more investment include Cisco’s security, mobility and cloud efforts. CEO John Chambers has cited those areas as where the company has the greatest potential for growth.

Any remaining cuts are expected to continue through Cisco’s fiscal year.

Comments

  1. BY Dr. Deano says:

    Yet.. They and other tech giants are lobbying for ‘immigration reform’ to allow more foreign workers into the country…

  2. BY Andrew says:

    Wow a company that is making profits laying off employees. I get the stock holders and CEOs all get bonuses. People that do this are disconnected from reality, it’s the workers that are producing the product that makes the company profitable. I predict any company that is doing well and starts getting rid of people will make itself face hard times. I hope a more sane competitor takes their place.

  3. BY Legal Immigrant says:

    I love you H1-B lovers.

  4. BY patrice says:

    How sad when greed takes the place of leadership and the values that once made America great. Oh well.

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