Wednesday, May 13, 2009

Seagate Chops 1100 Employees

Scotts Valley-based disk drive maker Seagate Technology disclosed this morning that the company is cutting approximately 1,100 of its employees, or 2.5 percent of the firm's workforce, as part of a restructuring plan. According to Seagate, it is looking to save it approximately $125M in annual costs from the cuts. Seagate said the moves were made to position the company to be cash flow and earnings positive within fiscal year 2010. The cuts come on top of earlier layoffs and plant closures at the firm, plus salary reductions the company announced in January.