The cloud data management firm NetApp Inc. announced on Tuesday that it would cut around 960 jobs, or about 8% of its global workforce, as it struggles with the tough economic conditions that have reduced customer spending.
The company expects to carry out the job cuts through the end of its fiscal 2023 and incur related charges in the third quarter of about $85 million to $95 million.
After global central banks enacted rapid rate hikes to combat inflation, U.S. companies have cut and downsized expenses to cope with the global economic downturn.
“Companies are facing an increasingly challenging macroeconomic environment, which is driving more conservatism in IT spending. We are not immune to these challenges,” NetApp Chief Executive George Kurian said in a letter to employees.
On April 29, 2022, the company had about 12,000 employees.
Workday Inc., a software maker, also revealed intentions to lay off 3% of its more than 15,000 employees earlier in the day.