Cisco’s Rebalancing Act Costs 4,000 Employees Their Jobs

After Amazon and Microsoft, Cisco's rebalancing act will cause 4,000 tech job loss  

It seems like Cisco is following the footprints of Amazon and Microsoft. Amid of global wave of tech layoffs, Cisco Systems Inc. has reportedly begun letting go of workers as part of the Cisco layoffs it announced last month. Cisco's rebalancing act has affected 4K tech workers. 

In the last few months, many big techs announced tech layoffs to reduce its cost. Cisco has also moved ahead to reshape the entire system and Cisco's rebalancing act has made many tech workers jobless. Purported Cisco workers on Monday reportedly said discussing tips for new jobs, and severance package details on TheLayoff.com and the anonymous professional networking site Blind. The company has notified them and as per Cisco's rebalancing act they are being let go, the posts said. Top tech companies like Meta, Amazon, Twitter, Lenovo, Salesforce, and Adobe have already laid off countless employees. As per data, globally, nearly 2 lakh people have lost their jobs in the tech sector.

Cisco layoffs 4k employees which are nearly five percent of its workforce. A report in the Silicon Valley Business Journal said the company has decided to take this step in a 'rebalancing' act while 'rightsizing certain businesses.' The report added that Chuck Robbins, the Chairman, and CEO of Cisco "did not divulge any detail on laying off employees, saying he would be reluctant to go into a lot of detail here until we're able to talk to them. I would say that what we're doing is rightsizing certain businesses." The report further quotes the Chairman and CEO as saying, "You can just assume that we're going to we are not actually there's nothing that's a lower priority, but we are rightsizing certain businesses."

The massive layoffs by the tech companies this year alone have surpassed the levels from the Great Recession the world went through 2008-2009 that began with the Lehman Brothers' collapse. In 2008, tech companies laid off about 65,000 employees, and a similar number of workers lost their livelihoods in 2009, according to data by global outplacement and career transitioning firm global outplacement & career transitioning firm Challenger, Gray & Christmas. By comparison, 965 tech companies have laid off more than 150,000 employees this year globally, surpassing the Great Recession levels of 2008-2009.

Data from layoffs.fyi, a crowdsourced database of tech layoffs, showed that 1,495 tech companies have sacked 246,267 employees since the onset of Covid-19, but 2022 has been the worst year for the tech sector and early 2023 can even be grimmer. As of mid-November, more than 73,000 workers in the US tech sector have been laid off in mass-level job cuts led by companies like Meta, Twitter, Salesforce, Netflix, Cisco, Roku, and others.