Network equipment maker Cisco will shut its US and Canadian
operations for four days over New Year, and will encourage its
British staff to take holiday over the same period, to help save
$1bn in costs.
A Cisco spokesperson said the firm will also seek cuts in travel
and discretionary-related expenses, including offsites, outside
services, equipment, events, trade shows, prototypes, marketing and
other activities.
Cisco said, "On our Q1 FY '09 earnings call, Cisco announced
that it will be reducing our expenses for FY09 by over $1bn from
our annualised expense run rate given the challenging macroeconomic
environment. Cisco will be targeting reductions in travel and
discretionary-related expenses, including offsites, outside
services, equipment, events, trade shows, prototypes, marketing and
other activities.
"As part of this effort, Cisco will implement a mandatory
year-end shutdown of the US-Canada theatre from December 29, 2008,
through January 2 2009, with some exceptions for targeted
business-critical teams, including technical assistance services
and channel partner and customer product ordering services. In
Europe, employees are encouraged to take four vacation during the
holidays or at some point during Q2."