Internet networking equipment maker
(Nasdaq:CSCO) announced on March 9 that is is slashing its workforce by 16%, or 8,000 workers. But the layoffs are not expected to reach Israel, says its local representative.
Cisco is laying off 2,500 to 3,000 temps and 3,000 to 5,000 permanent workers. The company has 48,000 workers, 5,000 of whom are temps. The company also said it is slashing travel expenses by 60%.
Cisco Systems Israel employs 400 workers. Israel Country Manager Gary Drutin today explained that the global economic slowdown justifies Cisco Systems' cuts in both staff and expenses. Cisco President and CEO John T. Chambers said that the slowdown is expected to continue more than two quarters.
Cisco Systems is a leading provider of connectivity products and end-to-end communications solutions. In 1997 it established a development center in Herzliya Pituach, Israel. The center works with Cisco's European center, which handles the Israeli branch's marketing.