Maxtor sheds 1,500 staff
Hard times for Hard drive makers
Maxtor is to make up to 1,500 people redundant. The job cuts will hit plants in Singapore and the US, and comes on top of 570 pink slips issued in the wake of the firm's takeover of Quantum's HDD business this year.
"The second quarter has been characterised by weaker than expected demand for hard drives, affecting inventory levels and pricing. With the outlook
for continued weakness in the PC market and limited visibility for the remainder of this year, we believe it is necessary to both accelerate the expense reduction opportunities available through our merger with Quantum HDD and to balance our manufacturing workforce with expected levels of demand," said Mike Cannon, president and CEO.
The company reckons the storage market will see strong sales when the economy picks up.
Before the lay-offs, Maxtor had 11,000 staff. ®