Cisco Refutes Report of Layoffs

Cisco is denying the veracity of a report by Thomas Weisel Partners earlier today suggesting that the networking giant was paring 1,5000 to 2,0000 jobs.

Not true, says Cisco. Well, sort of.

Says Cisco spokeswoman Kirsten Weeks:

“The report today gives the impression that Cisco is announcing new head count reductions. The head count reductions referenced in the report were announced in a conference call in February.”

Weeks said Cisco has asked Thomas Wiesel to issue a clarification, which is allegedly forthcoming.

Just to show these Cisco spokespeople are organized and tend to read from the same script, Cisco’s Terry Alberstein made a similar point, suggesting that Thomas Weisel analyst Hasan Imam must have been referring to plans for job cuts of between 1,500 and 2,000 that Cisco announced during its quarterly conference call in February. Those cuts are still being made, according to Alberstein.

Neither Weeks nor Albertstein sought to contradict commentary from the Thomas Weisel analyst that was more favorable to Cisco. For example, Imam wrote that Cisco’s current quarter is tracking well, that revenue is likely to surpass consensus estimates, and that Cisco is taking share from Juniper Networks in the router market.

So, just to summarize, Cisco has not announced new staff cuts, but it continues to get rid of employees associated with a previous layoff announcement.

If you’re one of the employees being shown the door, it’s a fine distinction. The subjectivity of perspective, as always, counts for a lot.


2 responses to “Cisco Refutes Report of Layoffs

  1. Nothing news there. Cisco has been doing layoff between 1500 – 2000 every quarter quietly. They don’t call it a layoff, they called limited restructuring. They’re quietly shifting jobs to China and India.

  2. It’s just so demoralizing for us here at Cisco. We have to deal with this every quarter. If they keep doing the layoff every quarter, they will eventually archieve their goal of 10% layoff without even making a big announcement. They’re just doing it quietly. Like it or not, our jobs are moving oversea. The China teams are now double in size. Cisco is hiring aggressively in China while the positions here are being eliminated in the U.S.

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