Digital Daily » layoff

SAP, the "S" is for "Sack"

John Paczkowski — Wed, 28 Jan 2009 13:10:41 +0000

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RealDepressing: The Entire RealNetworks Layoff Memo

John Paczkowski — Fri, 05 Dec 2008 01:25:32 +0000

Earlier this afternoon, Peter Kafka reported in Media Memo that RealNetworks (RNWK) was “next up in today’s layoff parade.” Here’s the official internal memo from RealNetworks founder, chairman and CEO, Rob Glaser:

Team –

I’m writing to share some important but not happy news.

Today, we’re implementing a reduction in force affecting about 130 employees, representing about 7.5 percent of the company’s work force. This is a world-wide initiative; about one-third will be in Seattle, approximately another third in other U.S. locations, and the rest outside of the U.S. This is roughly proportionate to the overall number of people we have in each region. All divisions are affected in varying degrees.

Many of the reductions are a result of consolidations of operations of companies we’ve acquired in the past year or so that are being integrated with other parts of our business. We also have looked across the company to integrate similar functions and groups to achieve better efficiency.

Having said that, this is also a reflection of the economy. While our business has not been affected as much as many, we are not immune to what’s going on in the wider economy. In addition to these staff reductions, we’re also tightening our belt in other ways–watching travel expenses even more closely, for instance, and canceling the Seattle HQ holiday party.

Because of the unusually difficult economic environment, we’re taking extra steps to help affected employees. For instance, every affected staff member in the U.S. will receive six months of Cobra healthcare coverage, which is double what we have done in the past. We’re making similar adjustments internationally.

Despite the changes being made today, which I and the rest of the management team deeply regret, the company is well positioned to weather the current economic storm. As per our last earnings call, we expect to achieve record revenue for the year, and we still see opportunities for growth and investment across the business. In order to stay healthy, we need to get our costs in line with the business as it looks today. This will enable us to continue investing in the areas that set us up for growth and success in the future.

Below is a brief video that goes into additional detail.

Video

Audio only

I’ll have more to say at our next company meeting early in 2009. Until then, take care.

Rob

Weekend Update 11/14/08

Beth Callaghan — Sun, 16 Nov 2008 02:23:01 +0000

Safe to say that the mood of last week–with its anticipation of change–is a distant memory. A different kind of anticipation permeated the tech and online media industries, one more reminiscent of April 2001. There was news all around of layoffs, pending layoffs, bankruptcies and stock dives.

To wit:

Digital Daily offered up a body count of companies in the tech sector that have been beaten into whimpering submission. Nortel (NT), once a telecom high-flyer, lost $3.4 billion in Q3. The company announced plans to lay off five percent of its workforce–including some high-ranking executives–eliminating 2,500 positions. Other high-ranking execs are taking part in the econalypse too, notably Kevin Kettler, Dell’s (DELL) chief technology officer. A week after the computer maker began offering workers voluntary separation plans, Kettler decided to take the company up on it. No word on how many followed suit. Other victims of the gloomy economy are Circuit City (CC), which declared bankruptcy this week, and Intel (INTC), which faced “sharply lower revenue.”

Media Memo presented a handy index of actual online advertising sales results (courtesy of Jupiter Media) and noted that the ad slowdown has hit Google (GOOG), too. Nick Denton, Gawker Media publisher, folded Valleywag into Gawker.com, the flagship blog of the media empire and, in an ironically appropriate move, put Consumerist up for sale. Denton, doom-mongerer of the econalypse, would surely appreciate the following layoff roll call: Condé Net and Time Inc., not once, but twice. No, wait. Three times.

BoomTown was on a Yahoo (YHOO) roll this week, writing about the company’s upcoming layoffs and its stock plunge. Just to squash rumors: Jerry Yang will not be laid off. Social media, mainly Twitter, became a hot topic this week in terms of its effect on the PR industry, and BoomTown had something to say about it. Also noted was the good humor of Mobuzz video, which made a plea to its users to donate five euros apiece to keep it afloat. And in case you were wondering what makes BoomTown impatient, the main two things this week were Microsoft’s (MSFT) continuing failure to find a head for its digital business and Yahoo/AOL’s failure to make anything happen in the ongoing yawn-fest of a nonacquisition.

In Personal Technology, Walt Mossberg gave the lowdown on Wi-Fi for your car, and in Mossberg’s Mailbox discussed disabling Wi-Fi on a laptop. In The Mossberg Solution, Katherine Boehret reviewed the Flip MinoHD, the latest addition to the Flip family, and its first foray into hi-def.

Reason for Leaving Last Job: Change and Renewal of Some Nokia Activities

John Paczkowski — Tue, 04 Nov 2008 20:01:50 +0000

Nokia (NOK) is continuing its change and renewing of some of its activities, according to a statement from the company this morning–”change” being shorthand for restructuring, “activities” for layoffs.

Maturing wireless markets and a miserable economy have forced the company’s hand, and come Jan. 1, it will cut 450 jobs in production, sales and marketing and sack 130 or so more in R&D. General “workforce adjustments” will see an additional 35 employees released into the wild.

This period of “change” and activity renewal is the second announced by the Finnish company in the past year. The first resulted in some 2,300 job losses in Germany.

[Image credit: Someecards]

Yahoo: Start Bleeding Purple

John Paczkowski — Thu, 25 Sep 2008 19:00:54 +0000

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