Cisco Systems is expected to cut down on at least 5,000 workforce, one of its largest employee reduction in August this year.
An analyst at Gleacher has revealed that San Jose, California-based networking behemoth Cisco Systems is expected to cut down on its headcount by at least seven percent, which accounts for nearly 5,000 from 73,000 employees worldwide.
According to Calgary Herald, a research report published by Gleacher and Co. on Monday informed that Cisco needs to cut down on its workforce as nearly 5,000 of them are working half day only. The report advises Cisco to concentrate on innovation and stream lining of its products.
"The revenue trajectory hasn't been where it should be. The company is not staffed on an appropriate level. They simply have too many employees," stated Brian Marshall, an analyst at Gleacher.
According to the statement issued by the Cisco Systems spokeswomen, Karen Tillman, the chief executive officer of the company John Chambers has plans to cut down on more employees and businesses that are less profitable. The company is expected to provide details of the layoffs at the next meeting to report its quarterly earnings.