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April 1, 2008
ROUND ROCK, TX - Dell Inc. said Monday it will save as much as $3 billion during the next three years as it cuts costs and lays off workers, with measures including closing a desktop manufacturing facility in Austin.
The world's No. 2 computer maker will cut 900 of 17,500 jobs in the Austin area by closing the plant, company spokesman David Frink said.
Dell also reaffirmed its plan -- announced last year -- to cut at least 8,800 jobs, or about 10 percent of its work force.
Frink said the Round Rock-based company didn't have a time frame to reach that number.
In the last nine months of fiscal 2008, Dell cut 3,200 jobs.
The Austin facility will close late in fiscal 2009, which ends Jan. 31, Frink said.
Two months ago, Dell announced 1,200 job cuts, about 900 at a call center in Canada.
The company also is closing 140 kiosks, mostly in shopping malls, where customers could examine and order computers but not buy them to take with them.
Dell, built on sales direct to consumers, is striking deals with more retailers to sell them in place of using the kiosks.
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