EMCC European Monitoring Centre on Change

Sun Microsystems

Company/Organisation:
Sun Microsystems

Geographic Location

Country: World

Company

Sector: Information / communication
IT and other information services
62 - Computer programming, consultancy and related activities
Number Employed: 38500

Employment Effects

Announcement Date: 31-05-2006
Planned Job Reductions min: 5000
Planned Job Reductions max: 5000
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-06-2006
Foreseen End Date: 30-11-2006

Additional Information

US computer company Sun Microsystems is to cut up to 5,000 jobs, or 13% of its workforce worldwide, in an attempt to turn around five years of losses. The firm aims to eliminate the jobs over the next six months, which it said should yield annual cost savings of up to $590m (£313m). But the restructuring plan is expected to cost Sun up to $500m over the next few financial quarters. The firm wants to regain market share from rivals Dell and Hewlett-Packard.