RIM Begins Laying Off Employees, Won't Say How Many (Yet)
June 20, 2012 8:44 AM
comment(s) - last by
The layoffs are reportedly occurring in many different departments including manufacturing and sales
Research In Motion (RIM) has officially
started laying off employees
after suffering a huge quarterly financial loss and losing the smartphone race against the likes of Apple and Google.
RIM hasn't announced exactly how many layoffs have occurred or how many will occur, but many people are posting on RIM forums like Crackberry.com saying that the layoffs have begun.
The layoffs are reportedly occurring in many different departments including manufacturing and sales. It is said that severance packages are being offered to these employees.
"RIM has committed to achieving significant efficiencies and operating cost reductions over the course of this fiscal year," said Tenille Kennedy, RIM spokesperson. "Our financial target is to drive at least $1 billion in savings by the end of fiscal 2013. Head count reductions are part of this initiative."
Previous reports released last month indicated that
RIM was looking to cut 2,000 jobs
total during this time period. That is about 12 percent of RIM's 16,500 worldwide workforce. However, new reports are saying that RIM may cut as many as 6,000 jobs this round -- 36 percent of its global workforce.
RIM's layoffs and need for $1 billion in savings stems from a poor Q1 2012 financial report, which was a $125 million USD loss. Before that, the company lost market share to Apple's iPhone and Google's Android-powered phones. RIM's BlackBerry smartphones just couldn't compete, and even its BlackBerry PlayBook took a dive after release. But, to be fair, Apple's iPad is king of the tablet market and no other competitor has been able to touch it. The Kindle Fire has been the only tablet to cut into Apple's market share during the holiday season in 2011, where
Amazon moved 4.7 million units
and Apple moved 15.4 million units.
With this much competition, RIM is sinking and looking to layoffs for a partial answer. Some have even said that RIM may become a candidate for bankruptcy or a sale.
This article is over a month old, voting and posting comments is disabled
What do you mean "how many'?
6/20/2012 9:05:39 AM
It says employee
, so it's about both of them.
"It looks like the iPhone 4 might be their Vista, and I'm okay with that." -- Microsoft COO Kevin Turner
RIM Prepares to Cut 2,000 More Jobs as it Tries to Stay Afloat
May 26, 2012, 2:00 PM
Kindle Fire Moves 4.7 Million Units, Cuts Into iPad's Market Share
March 14, 2012, 11:29 AM
Lenovo Completes $2.91B Acquisition of Motorola
October 30, 2014, 11:57 AM
Samsung Electronics Q3 Profit Falls by 60%, Mobile Division Sees 74% Profit Decline
October 30, 2014, 10:10 AM
Microsoft's $199 Fitness Band Packs in 10 Sensors, Works with Windows Phone, iOS, and Android
October 30, 2014, 8:58 AM
Google’s Project Ara Modular "LEGO" Smartphone Shown Booting Up on Video
October 29, 2014, 5:28 PM
After Touting Security, Privacy Controls, MCX/CurrentC Hack Exposes Customer Email Addresses
October 29, 2014, 3:08 PM
HP Reveals Sprout PC with Built in Projector, 20" Touch Sensitive Mat for Input
October 29, 2014, 1:13 PM
Most Popular Articles
Amid Theater Boycott Netflix Defiantly Plans New Movies, Plus 3 TV Shows for 2015
October 24, 2014, 7:30 PM
AT&T Defeats Purpose of New Apple SIM, Locks iPad Air 2 SIMs to Its Network
October 24, 2014, 2:17 PM
CVS, Rite Aid Kill Unofficial Apple Pay Support, Burn Google Wallet Users in the Process
October 25, 2014, 5:26 PM
1 Million Credit Card Activated on Apple Pay Within 72 Hours, Walmart CEO Hopes Visa "Suffers"
October 28, 2014, 8:17 AM
Microsoft's Figures Show Desktop Users Flocking to Windows 10 Preview
October 27, 2014, 11:04 AM
Latest Blog Posts
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information