The more things change, the more they stay the same. My former employer (left on good terms, between layoffs a decade ago next month) SGI has layoffs coming.
This is a tough environment folks, a very tough environment. We pulled out a nearly 12% revenue growth in it. SGI posted a profit, but if you click through to the underlying article (hit InsideHPC first though), you see some interesting analysis. First on the size of the layoff.
If you assume a fully burdened cost of an employee to be roughly $150k (that includes benefits, salary, everything), then a 90-day severance could be somewhere in the neighborhood of $50 ($150k / 4 = $37.5k, then add a bit for padding and insurance). At $6.6Million, that?s over 130 employees.
Looking back at their final quarterly filing for 2010, you can get some rough numbers on their employees (Search for ?headcount?):
Manufacturing: 581 people
Sales & Marketing: 247
Total: Around 1300
That means they just axed 10% of the company. That?s more than a little trimming, that?s pretty substantial reorganization.
The assumption may be wrong on the burdened costs though, and its possible projects are being shuttered/written off. And these are speculation, but the article author is probably in the right order of magnitude, I’d even argue that the first digit may be correct within a factor of 2. His analysis is not a function of the first digit, but comparing the order of magnitude to other known quantities. The subsequent Register article does suggest that this analysis is correct.
Then on UVs …