EMCC European Monitoring Centre on Change

Rackspace Inc.

Company/Organisation:
Rackspace Inc.

Geographic Location

Country: World
Location of affected unit(s): US, London, Sydney, Hong Kong, Munich

Company

Sector: Information / communication
IT and other information services
63.11 - Data processing, hosting and related activities
Number Employed: 6200

Employment Effects

Announcement Date: 07-02-2017
Planned Job Reductions min: 300
Type of Restructuring: Internal restructuring
Employment Effect Start: 07-02-2017
Direct Dismissals: 300

Additional Information

On Tuesday 7 February, Rackspace Hosting Inc. announced a plan to cut its workforce of about 6%. Rackspace is a managed cloud computing company, its headquarter is based in Windcrest, Texas. The company has offices also in other U.S. cities and in London, Sydney, Hong Kong and Munich. Globally Rackspace employs more than 6,200 workers.

CEO Taylor Rhodes, in a blog post published on the company website, announced that the majority of the cuts will affect the U.S. workforce. Rackspace is also proposing smaller reductions other countries. The U.S. layoffs and proposed international reductions are “top down” primarily impacting middle managers.