First found of layoffs cost $800 million from severance, termination benefits
Tech company Cisco will reportedly carry out a second round of job cuts, months after laying off thousands of employees early this year.
The San Francisco-headquartered firm is expected to lay off around 4,000 or more employees, Reuters reported.
This is similar to the number of employees laid off in February, as the tech firm previously announced in its second quarter earnings report. The first round of job cuts cost the organisation nearly $800 million from severance and other one-time termination benefits.
Reuters, which cited anonymous sources from Cisco, reported that the second round of job cuts will likely be announced in its upcoming quarterly results coming out on Wednesday.
Cisco had about 84,900 employees as of July last year, according to its 2023 annual report. Among them, 47.6% are in the United States and 52.4% are spread out across the world.
The tech firm is one of the many organisations laying off employees this year, which includes Intel, eBay, Riot Games, Snap, Estee Lauder, Warner Music, among others.
Several reasons for retrenchment this year include the need to reduce cost, anticipation of recession, desire to increase profits, and replacing employees with artificial intelligence.
