Layoffs at Gateway

[yesthattom]

http://news.com.com/2100-1005_3-6132395.html?part=rss&tag=6132395&subj=news

Gateway announced Thursday it cut approximately 5 percent of its work force as part of an initiative to reduce annual expenses by as much as $35 million.

The cuts, announced during Gateway’s third-quarter earnings call with analysts, resulted in the elimination of approximately 100 positions this week, bringing the computer maker’s work force down to roughly 1,700 employees.

When I first read this I thought, “Those 100 people each make 350,000 per year???”

Comments

[qnetter]

Then I assume you thought a while and realized that this would also probably allow them to close facilities...

[lilbjorn.livejournal.com]

No, no, no. It's 100 people make $20K and one vice president.

[b00jum.livejournal.com]

Not to be too blunt, but in addition the points above you have employee benefits as well. I suspect its around 30% of a persons total cost, not including facility costs.

[barking-iguana.livejournal.com]

Uh, folks, I think the key word in the article is part and the key word in Tom's post is first.