This post was originally published on this site.
Dell reported a smashing quarter, and employees should be prepared for what that means: Layoffs.
In its latest 10-Q filing with the US Securities and Exchange Commission, published in the wake of its fiscal Q2 2025 earnings report, the systems maker admitted that those sparkling sales numbers don’t change the fact that AI means “business transformation” will continue.
“We remain committed to disciplined cost management in coordination with our ongoing business transformation initiatives and will continue to take certain measures to reduce costs, including limitation of external hiring, employee reorganizations, and other actions to align our investments with our strategic priorities and customer needs,” Dell said in its SEC filing.
“We continue to advance our own capabilities … by leveraging new technology and optimizing business processes,” it added. “We anticipate these actions will result in a continued reduction in our overall headcount.”
In early August, Dell confirmed plans to lay off employees – possibly as many as 12,500 people – and told us it was becoming a leaner company by reorganizing its go-to-market team and undertaking “an ongoing series of actions,” without specifying what those were.
In line with its recent tone in the Q2 earnings call and the 10-Q, Dell attributed last month’s layoffs to streamlining operations with AI.
When asked for details about workforce reduction plans mentioned in the SEC filing, which is worded to imply it’s forthcoming, Dell responded with the same quote it gave us confirming its layoffs in early August.
Dell employees posting on anonymous workplace site The Layoff have mentioned ongoing job cuts at company offices outside the United States, and plans to notify staff stateside about the future of their roles in the coming weeks.
Dell didn’t answer any questions about numbers for any potential future workforce reductions, and hasn’t confirmed the number it cut in early August, either. Estimates put it at around 12,500 people, or about ten percent of its workforce.
Those wide-scale cuts are beginning to look like an annual tradition at Dell, which last year shed roughly 13,000 workers after pledging smaller reductions. The company is not alone, with other tech giants also chopping headcount last year and this, including Microsoft, Google and more.
AI is predicted to have broad effects on the workforce, both in and outside of the tech industry. A recent survey of business executives found that 41 percent of surveyed biz executives expect AI to lead to reductions in their workforce, and only half said they’d reassign these affected workers.®