Symantec cuts jobs to reduce costs

Unspecified number of employees are being let go as the security software maker works to cut its cost structure by $200 million.
Written by Joris Evers, Contributor
Symantec this week started sending out pink slips to employees across the company as part of a cost reduction effort.

The Cupertino, Calif.-based security and database management software maker in January set a goal to reduce its cost structure by $200 million. As part of that, an unspecified number of employees are now being let go, Melissa Martin, a Symantec spokeswoman, said Thursday.

"We're reducing (our) head count cost by 5 percent," Martin said. She declined to say how many employees would be affected by the layoffs. Symantec employs about 17,500 people worldwide.

After a disappointing quarter for its enterprise business, Symantec in January said it would cut costs by $200 million to align its expenses with its revenue expectations.

To achieve that target, the company said it would trim its workforce, reduce new hires, consolidate facilities and cut spending on contractors, consulting and travel.

Symantec's shares were trading at $16.51, off slightly from the $16.55 opening price on the Nasdaq exchange. The stock fell sharply in mid-January after Symantec warned that results for the three month-period ending December 29 would be lower than forecast. For the quarter, Symantec reported net income of $114 million on $1.31 billion in revenue.

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