Dell Technologies (DELL) has eliminated 6,000 jobs as part of a sweeping effort to control costs.
The company, led by founder Michael Dell, now has 120,000 employees, down from 126,000 in 2023. In addition to the job cuts, Dell is also limiting external hirings and employee reorganizations.
The layoffs come as Dell tries to revive weak demand for its personal computers (PCs), which led to an 11% drop in the company’s revenue in the fourth quarter of last year.
Dell says it now expects revenue in its PC unit to grow for all of 2024.
In a revised outlook, Dell said that it expects demand to improve and for the pricing environment to be more competitive in its current fiscal year.
However, the company also expects input costs to rise and has undertaken job cuts to try and keep its overall costs in check.
In 2023, Dell eliminated 6,650 jobs as it prepared for a possible recession and as demand for PCs weakened worldwide.
Dell Technologies’ stock has increased 198% over the last 12 months and currently trades at $113 U.S. per share.
