Layoffs at OSDL

daria42 writes "Open Source Development Labs - which employs Linus Torvalds - has apparently cut nine of its fifty-seven staff (although Linus has retained his job). The cuts come as the organisation re-structures. It will establish a European office and expand into Asia. "We're a small enough organisation that what would be a small change in focus for a bigger company has a large effect on us," said a spokesperson."

Comments

Restructuring Methods

[mfh]

Let's hope this isn't a three-round layoff. Generally speaking, whenever a company plays the layoff card, they do it three times:

1. No brainers: the people who most deserve to go, and who everyone agrees
2. The group of tough choice cuts, generally 60% of the first round, and not often based on performance but more so on overshadowing
3. The painful cuts who don't deserve to go but they have to cut 40% of the last round numbers, so these will have to do

But of course since this is to enable the company to move into Europe, and not due to financial problems -- then perhaps this will be the only round as they will be rehiring these positions in a new office. I like the idea that they will be hiring new locals.