Dell is laying off 5 percent of its staff due to the disappointing PC market

Hardware maker Dell is going to lay off 5 percent of its staff. That amounts to approximately 6,650 people who will lose their jobs. The reason is that the PC market is shrinking and Dell doesn’t expect it to recover anytime soon.

After the layoffs, Dell still employs approximately 126,000 people, writes Bloomberg. Dell confirmed the report after Bloomberg saw an internal memo from the company. Dell had already tried to reduce costs by not hiring or hiring fewer people and by limiting spending on travel. Now that is no longer enough, the company says.

The purpose of the layoffs is to save costs. It is unknown what the consequences will be for current or future products of the manufacturer. The company says nothing about this. Dell also provides little context. This will probably happen with the next quarterly figures in early March. After the round of layoffs, 33 percent fewer people work at the company than three years ago.

Dell is the latest in a long line of tech companies that are laying off people en masse. Almost all major tech companies have made major layoffs in recent months. Most gave the reason that the market has developed differently than they had thought since the end of the acute phase of the corona pandemic. According to analyst firm IDC, Dell delivered 37 percent fewer PCs last year than the year before.

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