Cisco Systems, in another brutal round of layoffs for the tech industry, has sketched out plans to slash more than 4,200 jobs worldwide, the network equipment maker stated in a regulatory filing.
The new layoffs, slated to descend on the company’s workforce this summer, are just the latest announcement of wide-ranging job cuts by Cisco, one of Silicon Valley’s legendary tech stalwarts. The San Jose-based company’s decision to cut more jobs was outlined by the tech titan on Feb. 14 in a filing with the Securities and Exchange Commission.
“Cisco announced a restructuring plan in order to realign the organization and enable further investment in key priority areas,” Cisco stated in the SEC filing. “This restructuring plan will impact approximately 5% of Cisco’s global workforce.”
In July 2023, Cisco employed 84,900 workers worldwide, according to an annual report the tech company filed with the SEC. A 5 percent cut from a global workforce that size would equate to 4,245 layoffs worldwide.
It wasn’t immediately known to what extent the worldwide job cuts would affect Cisco workers in the Bay Area.
Cisco Systems, however, has slashed 1,023 jobs in the Bay Area over a period that consists of 2022, 2023 and so far in 2024, according to a review of WARN notices that Cisco has posted with the state Employment Development Department. Posts on the EDD website show that Cisco’s job cuts have affected the company’s workers in San Jose, San Francisco and Milpitas.
The tech company estimated it will have to take a charge of $800 million related to severance payments expected to occur this year and next, the regulatory filing shows.
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