The American technological company, Dell, has laid off staff, as part of the restructuring of its sales field.
In the internal memo, titled, Global Sales Modernization Update, which was sent to staff on Monday, the company revealed plans for centralising teams, and modernizing internal operations, to prepare the world for artificial intelligence.
According to the memo, the sales department has been brought together into a single memo, and the new AI select sales have been created. Owing to the move, an unidentified number of employees have been laid off.
According to an internal email seen by Business Insider, the senior executives, Bill Scannell and John Byrne wrote, “We are getting leaner. We’re streamlining layers of management and reprioritizing where we invest.”
The executives further concluded the mail with, “We don’t do this lightly as we know these changes impact people and our teams. The destination is going to be worth it — it’s about winning and winning big!”
A representative, working at the American Company, reported to the media house about how the sales department has been reshuffled and is further working to make the company leaner.
In the sales department, five employees reported to the media house, Business Insider, that they were fired. The same employees also revealed that they knew several colleagues who the company had laid off. Meanwhile, among the several affected, the majority of them are managers and senior managers, who have an average experience of 20 years, said sources.
An unnamed source gave an idea about the mass layoff and said, “It was mostly managers, directors and VPs. They also hit marketing and operations. They combined organisations and also made the ratio higher for the managers,” one employee, who asked to remain anonymous for job security, told BI. “Now every manager has a minimum of 15 employees.”
A sales worker emphasised Dell’s decision, and how it has adversely affected the employees. He said, “Several managers that have been here for a long time got let go. It just kind of shows you it doesn’t matter how much effort you put into this job. As soon as it helps their bottom line, you’re gone.”
A disclosed source, who is currently working for the computer company, stated that Dell has enough “middle management” roles, owing to which, the leaders have decided to fire some senior directors and directors.
The source revealed that currently, Dell’s layoff is in its initial stages, and is set to fire a higher number of employees. This also marks the largest layoff in the summer.
Since 2023, Dell has carried out 7 layoffs, resulting in a workforce decline from 130,000 to 120,000.
While Dell’s decision to take off employees highlighted AI advancements, it has frustrated several workers there. One of them said, “Every six months we have layoffs. There are no opportunities to move up. I have been looking for a new job outside of Dell for nine months.”
