My question is why do you think it will happen soon? Do some just want to create panic or did I miss something?
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ID: @3mbc+1i4EX4iH. fire Mike S and we'll gain 20+ million dollars ,he says do the right thing , he says do what you say your going yo do. And it's August 8 and no news on pay increases , no news on who will be WRF for the 500 mill soon he expects to save. Duck him
We definitely have more than 6k people who are not doing much and just hanging around - the senior leaders are pretty aware of it and names are ready. So please contribute or else the revolving door is ready.
To hit $500M costs on paper means removing just over 3000 staff based on the 'Assumed cost' of one FTE.
That calculation is based on a full years cost of a FTE. DXC is 4.5 months into its fiscal year so to make $500M by end of fiscal year it will need to be more than 3000, and if it doesn't start soon it could be 5-6000+
The only way that Sal can deliver the cost cuts that he's promising is through lay-offs. Lots of them. To hit $500M costs on paper means removing just over 3000 staff based on the 'Assumed cost' of one FTE.
If he does that, then he's going to reduce quality of service to clients even further. Then he's going to lose more revenue as those clients get angry and leave. So then he'll have to cut more staff.
Hey! Shouty McShoutFace! Yes, it's true: You can't make a long term success out of your business if you keep laying-off the people who deliver the profits. Get a grip, stop cutting, and start growing if you want DXC to survive the next five years.
He was referencing the end of the fiscal year; however, he makes repeated mentions about offshoring work so things aren’t looking super positive.
The last major cost cutting exercise in FY21 trimmed 3.5% off the 137,000 workforce resulting in 4,500 job losses. I still think it will end up being a few folk working out of a garden shed soon.
There is nothing to panic here, cause most people do not even wake up in dxc to do any work - even after announcing in analysts call if you guys are not understanding it is a pity. No wonder we are loosing money and unable to compete with Pure plays who consistently beat us. We cannot just survive with a good English accent, cause we are not BBC or CNN. So long story short, to survive we have to do what we have to do. In the meanwhile, please join all the culture week celebrations etc. And enjoy till it lasts.
https://www.fool.com/earnings/call-transcripts/2022/08/03/dxc-technology-company-dxc-q1-2023-earnings-call-t/ Read and make your own conclusions!
"We are accelerating our cost optimization to reduce $500 million in cost by the end of the year." - Mr. Salvino quote.
The question is...did he reference the end of the FISCAL year (9 months) or CALENDAR year (5 months). In any event, if you find an LZ, JUMP!!!!