Report: RIM to cut 2,000 jobs

Report: RIM to cut 2,000 jobs

Summary: Research In Motion reportedly set to cut at least 2,000 jobs worldwide as part of major global restructuring; layoffs expected to begin day before RIM's second quarter ends.

SHARE:

Beleaguered handset maker Research In Motion (RIM) is expected to cut at least 2,000 jobs across its worldwide operations over the couple of weeks, as part of a global restructuring exercise.

Canadian newspaper The Globe and Mail, citing unnamed sources, reported Saturday the next round of layoffs would take place on Jun. 1, a day before RIM's first quarter ends.

The BlackBerry maker has seen a steady slew of senior management departures since January this year when it installed new CEO Thorsten Heins at the helm, the report said. Last week, 14-year RIM veteran and head of global sales, Patrick Spence, resigned from the company.

"They’ve been axing people on the sly for months. Lots of guys are being packaged out right now," a former RIM executive told Globe and Mail.

According to the report, a RIM spokesperson declined comment, but pointed toward comments made by Heins and RIM CFO Brian Bidulka during the last quarterly earnings call in March--where it reported a net loss of US$125 million. The two executives then said they would focus on operating metrics and efficiency with streamlining measures to target savings of about US$1 billion by the end of fiscal 2013.

Topics: IT Employment, CXO, Hardware, Mobility, Networking, BlackBerry, Software

Jamie Yap

About Jamie Yap

Jamie writes about technology, business and the most obvious intersection of the two that is software. Other variegated topics include--in one form or other--cloud, Web 2.0, apps, data, analytics, mobile, services, and the three Es: enterprises, executives and entrepreneurs. In a previous life, she was a writer covering a different but equally serious business called show business.

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Talkback

0 comments
Log in or register to start the discussion