BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) may be planning to cut its workforce by as much as 40 percent by the end of the year. That’s according to Will Connors of The Wall Street Journal.
This possible round of job cuts come amidst increasing uncertainty about the company’s future. Just this month, management at BlackBerry denied reports that they were cutting their sales force by 50 percent.
Chris Hohn the founder and manager of TCI Fund Management was the star speaker at this year's London Value Investor Conference, which took place on May 19th. The investor has earned himself a reputation for being one of the world's most successful hedge fund managers over the past few decades. TCI, which stands for The Read More
BlackBerry job cuts to come in waves
According to Connors’ sources, the cuts at BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) will come in waves and affect thousands of workers in every department at the company. A spokesperson for the company would only say today that they will continue to make “organizational moves.” Connors reports that the spokesperson would not comment on the 40 percent number he had been told by another source at the company. Sources apparently told The Wall Street Journal that some workers at the company have been informed by their managers which job cut waves will affect their jobs.
BlackBerry prepares for the next step
The last time BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) revealed how many employees it officially had was in March when it had 12,700 employees. However, that estimate declined to 11,000 by July, and since then there have been other layoffs at the company, as recent as last month. The struggling Canadian handset maker said in its July report that it was planning to cut more jobs, although it did not say just how many at the time.
BlackBerry revealed about a month ago that it was looking for strategic alternatives, which could mean a complete sale of the company or selling it off in pieces. The company’s board has said it wants to have the process finished as soon as possible, perhaps even as early as November.
As of this writing, shares of BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) were down 1 percent at the NASDAQ.