Feeds

Getronics sharpens chopper, eyes 2,500 of its people

Time for some of you to be in India

Choosing a cloud hosting partner with confidence

Dutch IT services provider Getronics is firing up to 2,500 staff to counter effects of the market slowdown in its homeland, but refused to be drawn on potential cuts to the UK workforce.

Telco parent KPN has reported a drop in second calendar quarter results showing a near 2 per cent drop in sales to €3.29bn as EBITDA fell more than 5 per cent to €1.31bn and net profit fell 11 per cent to €414m.

Results at the Getronics subsidiary hardly gave reason to crack open the champers either, with revenues sliding more than 3 per cent to €462m and EBITDA halving to €15m.

A spokesman told El Reg that fierce pricing competition in the market had impacted margins, down to a little over 3 per cent, and it has accelerating cost-cutting.

The plan is to slash about 5,000 jobs by 2015, he said, "as part of that restructuring programme the first jobs cuts will be at Getronics, 2,500 [positions]". This equates to one quarter of the headcount in the Netherlands.

Back-office staff are set to be impacted with roles outsourced to India, the spokesman added, but he refused to comment on the specific areas impacted.

"We are looking at all areas to improve our services. We want to align our costs with the services revenues that we make," he said. "It is a difficult market where customers are postponing decisions to invest."

Job cuts at the UK organisation were made early last year following the loss of several large contracts, but the spokesman refused to comment on any further impact on headcount. ®

Internet Security Threat Report 2014

More from The Register

next story
Bladerunner sequel might actually be good. Harrison Ford is in it
Go ahead, you're all clear, kid... Sorry, wrong film
Euro Parliament VOTES to BREAK UP GOOGLE. Er, OK then
It CANNA do it, captain.They DON'T have the POWER!
Musicians sue UK.gov over 'zero pay' copyright fix
Everyone else in Europe compensates us - why can't you?
I'll be back (and forward): Hollywood's time travel tribulations
Quick, call the Time Cops to sort out this paradox!
Megaupload overlord Kim Dotcom: The US HAS RADICALISED ME!
Now my lawyers have bailed 'cos I'm 'OFFICIALLY' BROKE
Forget Hillary, HP's ex CARLY FIORINA 'wants to be next US Prez'
Former CEO has political ambitions again, according to Washington DC sources
prev story

Whitepapers

10 ways wire data helps conquer IT complexity
IT teams can automatically detect problems across the IT environment, spot data theft, select unique pieces of transaction payloads to send to a data source, and more.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.