Xerox, the IT company that develops ubiquitous office equipment such as scanners and printers, will lay off 15% of its workforce as part of a so-called “reinvention” strategy.
According to the Xerox website, the company will have approximately 20,000 employees as of October 2023, and the layoffs will affect approximately 3,000 positions.
The disaster is part of a major restructuring by the Norwalk, Conn.-based company to adopt a new operating model and organizational structure aimed at strengthening its core printing business, according to reports. . CBS News.
The company will also create a new business services division, with president and chief operating officer John Bruno leading the company's collaboration across the company's printing, digital services and technology services businesses.
Luis Pastor, Xerox's chief transformation officer, will oversee the new global business services organization, according to CBS.
Flor Colon, the company's longtime in-house lawyer, will also be promoted to chief legal officer.
In a statement to CBS, Xerox CEO Stephen Vandrozak called the overhaul a “reinvention,” saying the strategic shift would improve the company's ability to bring products and services to market efficiently. He said it would be strengthened.
On the news, Xerox's stock price fell nearly 10% to $16.26 as of Wednesday afternoon.
The workplace and digital printing solutions company's shakeup comes at a time of stagnant growth, but the company has managed to turn a profit in recent years, including in 2022 when it posted revenue of $7.1 billion. Ta.
Xerox earned $7.06 billion in 2021, slightly more than $7.02 billion in 2020, the same year it abandoned a planned $35 billion hostile takeover of major rival HP, citing the pandemic. .
Representatives for Xerox did not immediately respond to The Post's request for comment.
Xerox's large-scale layoffs come as jobs are becoming increasingly difficult to find.
According to data from job site Indeed, the number of job listings on the site decreased by more than 15% in 2023 compared to recent years.
Indeed job indexThe survey, which tracked job postings as of early November 2023, showed an even more gloomy 22.5% drop from the peak on December 31, 2021, following the post-COVID-19 hiring frenzy.
For reference, at the beginning of 2022, job postings on Indeed surged nearly 70% year-over-year.
Separately on Wednesday, the Labor Department said the number of job openings at U.S. employers hit its lowest level since the beginning of 2021, and the number of job separations fell as well. This is a sign that confidence in the job market is wavering.
