Dell Incorporated has announced plans to cut costs by reducing its global workforce by 10%. Dell currently has a global workforce of over 88,000 employees and expects to trim more than 8,000 employees over the next twelve months. "The reductions will vary across geographic regions, customer segments, and functions, and will reflect business considerations as well as local legal requirements," the company said. Interestingly enough, Dell witnessed operating income of $947 million USD for Q1 FY2008. This was up from $762 million USD in Q1 FY2007.
"Our strategic intent is to simplify information technology for our customers by removing cost and complexity. No other company is as well positioned to unlock value for our customers - empowering them to implement simpler and smarter technology solutions. While reductions in headcount are always difficult for a company, we know these actions are critical to our ability to deliver unprecedented value to our customers now and in the future," said Michael Dell, the company"s founder and CEO.