‘Blind’: Lenovo confirms layoffs but denies reports of 10% cuts.

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MORRISVILLE – Lenovo, the world’s largest PC maker, which has been hit hard by a sharp drop in computer sales, is laying off employees. One said workers were “stunned just before Christmas”.

The affected executive confirmed to WRAL TechWire that he had been fired, and other reports were made on a news website about the firing.

Lenovo confirmed the cuts in an emailed statement, but denied reports that the layoffs would affect 10% of the company’s workforce.

“Lenovo made a small number of layoffs in the North American team this week, so the 10% number you heard is inaccurate,” the spokesperson said. But the number of cuts will not be provided at the moment.

“I’m sure you understand this is an ongoing process, so I can’t confirm anything about the numbers out of respect for those affected,” the spokesman said. »

The cuts come despite Lenovo Chairman and CEO Yang Yuanqing telling Bloomberg News in early November that the company was not considering large-scale layoffs. He did not specify This is reported by Bloombergbut quoted him as saying, “We have to ensure the competitiveness of our business.”

The last day, at least for some of the affected employees, is Jan. 13, unless they can find another job at Lenovo, the executive said.

In recent months, Lenovo has consistently posted job vacancies on the Lenovo website.

“As you well know, Lenovo has changed a lot as a company over the years you’ve been following us, so not only are we regularly reviewing our cost structure to match external market dynamics, but we’re also rebalancing some of our resources to drive growth in the business,” – explained the press secretary /

“Where there are open positions, employees can apply, and we have a large number of open positions in our transformation businesses, particularly in SSG, our services and solutions business.”

The company made several layoffs and froze payments in 2020.

Tech layoffs surge — but not in ‘diversified’ North Carolina (yet)

The layoffs began on Thursday and could affect up to 10% of the company’s workforce of more than 60,000, the sources said.

Lenovo operates one of its two global headquarters in the Triangle. The other is in Beijing. Lenovo, a Fortune Global 500 company, operates in 180 countries and has revenue of nearly $72 billion in fiscal 2022.

HP, one of Lenovo’s main competitors, recently announced plans to lay off 6,000 workers.

PC sales fell after soaring worldwide during the COVID pandemic.

More layoffs in tech: HP says it will lay off up to 6,000 workers

“Notify in 5 minutes”

According to the manager, who wished to remain anonymous, the news of the dismissal came almost without attention.

“My manager invited me to a Microsoft Teams meeting in 5 minutes,” he explained.

At TheLayoff.com, workers noted:

“It’s happening today, a lot of experienced and good, quality people have been affected.”

and:

“Layoffs will begin this week. According to rumors, a reduction of 10%.

The executive also said, “I’ve heard here and there that there are about 10% layoffs planned across the company.”

Given the sharp drop in computer sales, which account for a significant amount of Lenovo’s revenue, and layoffs in the high-tech sector, the executive said the layoffs were not entirely unexpected.

“Most of the big hardware technology companies have already had layoffs,” he said. “Lenovo did not mention such a step. While I thought it was possible, I and others thought we would get some sort of heads-up instead of being blindsided right before Christmas.”

At least some of the affected employees have some time to find another job at Lenovo, he noted, but the chances may be slim.

“We have until January 13th to find a job at Lenovo (which will be impossible as sales and hiring are frozen) and then 1 week off for every 6 months worked,” the executive said. “I was hired a year and a half ago, so I will only get 3 weeks – hardly fair and totally unacceptable.”

The employee said he was upset that he did not receive additional warnings.

“It was always a possibility given market conditions and the economy, but as I said, most companies gave advance notice and didn’t overshadow employees,” he explained. “I believe we were treated unfairly and that there was no rhyme or reason – salespeople who were hired almost 4 months ago still have jobs even though they haven’t even had a chance to contribute or hit sales targets. »



‘Blind’: Lenovo confirms layoffs but denies reports of 10% cuts.

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