Exclusive: Bell Micro EMEA confims job cuts
Distributor looking to make cost savings of 10 per cent across the business
Bell Micro has confirmed that it is cutting jobs across its EMEA organisation, mainly in the UK and Germany, as part of its strategic goal to reduce costs by 10 per cent.
The distributor has become the latest in a line of major distribution players to make staff redundant in preparation for a tough year ahead.
Speaking to CRN, John Toal, president of Bell Micro EMEA, said: “We are going through a cost saving programme this week and next. We are looking to reduce costs through a mix of people and operating expenses.”
He confirmed all the job cuts will have happened by the end of next week.
Although he was unable to reveal the exact number of jobs being cut, Toal said the distributor was trying to avoid making sales people redundant and instead save costs from back office cuts.
In terms of geography, the majority of the cuts would come from Germany - where the market is “challenged” - and the UK.
“It is not a pleasant situation but it is better to act quickly and then be able to focus positively on the rest of the quarter,” he said. “You have to move quickly. If you don’t, you will have issues next year. Virtually every industry is going through this so it is no great surprise.”
However Toal said despite the job losses, the distributor is still confident on growing areas of the business in 2009, particularly its software division, and also expanding into other verticals.
CRN also understands that a number of jobs have been lost Bell’s US headquarters, with further restructuring scheduled for the end of the month.