Cisco is touted to be the largest manufacturer of computer-networking equipment, but that does not mean they are in an invincible situation financially, being subjected to the laws of global economics as well. In fact, we have word that Cisco intends to shave off around 1,300 jobs from their payroll – which is equal to 2% of the workforce. This bit of news comes about as Europe’s burgeoning debt crisis and sluggish corporate spending continue to be a looming threat to Cisco’s sales figures.
It is said that the cuts are an important part of a “continuous process of simplifying the company, as well as assessing the economic environment in certain parts of the world.” This might just signal the first of more cuts, as additional shaving of the financial bottom line might prove to be necessary should profitability does not see any improvement. What do you think of this particular situation? It just goes to show that no matter how large you are as a corporation or company, you will still need to tread cautiously when it comes to spending and managing your money.RELATED