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Cisco Systems To Lay Off About 14,000 Employees, Representing 20% of Global Workforce (crn.com)
schwit1 writes from a report via CRN: Cisco Systems is laying off about 14,000 employees, representing nearly 20 percent of the network equipment maker's global workforce. San Jose, California-based Cisco is expected to announce the cuts within the next few weeks, the report said, as the company transitions from its hardware roots into a software-centric organization. Cisco increasingly requires "different skill sets" for the "software-defined future" than it did in the past, as it pushes to capture a higher share of the addressable market and aims to boost its margins, the CRN report said citing a source familiar with the situation. "The company's headcount as of April 20, 2016, was 73,104," reports CRN. "Cutting 14,000 employees would be the single largest layoff in Cisco's 32-year history."
UPDATE 8/17/16: Cisco has reported its fourth-quarter 2016 earnings and they have exceeded analysts' expectations.
UPDATE 8/17/16: Cisco has reported its fourth-quarter 2016 earnings and they have exceeded analysts' expectations.
I am amazed at the number of layoffs in the tech industry these days, yet we continue to dump money into these code camp programs, and other STEM initiatives of dubious value. Here we have 14,000 tech workers who probably could be retrained to work with software and yet we will dump money into these programs to train the next generation, and hiring H1-B workers instead. You know these people are likely intelligent and could use the leg up to fill the gaps the company has, and instead it is just dump them on the street.
This is the real tech world folks. Keep your kids out of it unless they absolutely love it on their own. It is an ageist world which has no loyalty to workers at all, and falsely believes that people can't be retrained. It is not the kind of place you want to make a career out of unless it is your absolute passion, and even then you will be discouraged every day by things like this.
Ok no H1-B's for 4 years then
The problem is that the MBAs should have prevented the company from getting to that point. Why do you have executives and managers that let a company get so bloated that you can cut by 50%? It should never get to that point in the first place, but the managers and execs like to hire people because it satisfies their ego to have that many people "report" to them.
You could say that about any profession. My wife is a physician and she tells people who say they want to be a doctor that "if you can imagine yourself doing anything else you probably should". That job is too hard and takes too much from you to bother with if it isn't a calling. Furthermore that pretty much contradicts your point above. If they don't have a passion for software development why are you pushing them into it if it isn't their thing? I'm an engineer and I've done enough programming to know that it isn't what I want to do for a living and also that I'm not particularly good at it.
Because I hear about all of those physician layoffs that are happening and how they are being replaced with over seas workers and young kids out of college. And I always hear about how older physicians can never learn and how they age out at 40.... Again, it is the crappy attitude of the industry I am talking about, and the sad state of the code. If you are really, really passionate about coding (such as I am) you can muddle your way through it, but you have to be ultra passionate. I think every professional career requires dedication, but most have a lot more longevity and actually respect people who have been at it for a bit.
That is because these types of layoffs are due to MBA style executive mismanagement. How do you suddenly lay off 20% of people? What kind of planning is that? How many years were these 14,000 people not needed? What are the other 70,000 people doing? Why do you need 70,000 people at a company like that?
The problem I have is when the MBAs, who have absolutely no idea how the business they're running works, look at spreadsheets and say, "Oh, we don't need these people. ... without ... a good look at what those "expensive" workers are actually doing.
I almost got laid off last year simply because I was the most expensive person on the team -- even *after* my project manager even told the program manager that I had written 80% of the code. The only thing that saved me was the realization that I also charged time to another project - so was actually less expensive to the first project.
It must have been something you assimilated. . . .