Vignette lays off staff at Emea HQ

E-commerce software developer and content management group Vignette has laid off a number of staff at its Emea headquarters in...

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E-commerce software developer and content management group Vignette has laid off a number of staff at its Emea headquarters in Maidenhead.

The move comes two weeks after the company announced a widening of first quarter operating losses to $8.1m (£5.4m), compared with $5.3m for the same period last year.
Net revenues for the period were $90.1m, compared with $55.2m last year. A spokeswoman for the US group said it had laid off 15 staff from its headquarters - an amount equating to 3.5 per cent of its Emea workforce.
The redundancies follow an earlier round of global cutbacks by Vignette and the company spokeswoman was unable to rule out further job reductions.
"We would hope there will be no more, but right now the economic conditions mean even the big guys in this sector are under pressure. We hope there will be no more cutbacks but I can't categorically rule it out," she said.
An ex-employee of Vignette who contacted MicroScope said he believed the job cuts were an "over-reaction" to the company's recent poor figures.
He also claimed the majority of the job losses had come from within Vignette's direct sales force, and claimed the company had become more interested in selling through the channel.
"It is liable to pull its entire sales force and just sell indirect," he claimed. But Vignette's spokeswoman insisted the redundancies had come "across the board" and did not affect any particular area of the business.
"We've still got a direct sales force and we don't intend to change our sales model," she said.

On release of the company's last set of results, Vignette chairman and CEO Greg Peter claimed the company had managed to reduce the impact of the losses because it had "identified the changing economic climate" before competitors at the beginning of the year.

Dominic Hall



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