Dell to lay off over 6,000 employees as computer demand falls 37%

Dell announced Monday that it will be laying off 5 percent of its workforce globally, about 6, 650 employees.

In a report seen by CNBC, the computer maker has been entangled in slowed demand for PCs and laptops globally.

Global shipments of PCs were down 28 percent year over year in the fourth quarter of 2022, according to industry analysts at IDC.

In a memo to employees, Jeff Clarke, co-chief operating officer at Dell, said the cuts were made in an effort to “stay ahead of downturn impacts.”

“Unfortunately, with changes like this, some members of our team will be leaving the company,” Clarke said. “There is no tougher decision, but one we had to make for our long-term health and success.”

According to a CNBC report, Dell had 133,000 total employees as of Jan. 28, 2022.

Clarke said Dell has navigated economic downturns before, and “emerged stronger” as a result.

Computer shipments at Dell fell 37 percent for that same period, while competitors Lenovo, HP and Apple were down 28%, 29% and 2%, respectively.

It is the latest tech firm to join the layoff wave after Google said it would also cut off 12, 000 workers on January 23, 2023.

Lawrence Baraza

Lawrence Baraza is a prolific writer with competencies in Digital Media, Print, and Broadcast. Baraza is also a Communication Practitioner currently spearheading Digital content on Metropol TV's Digital Desk.

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