Dell Computer said today 600 employees in Europe - mainly in Ireland and Britain - have been laid off during the past quarter as part of its plan to reduce its global workforce by 3,000.
The affected staff had accepted voluntary layoff packages during the second quarter, Mr Paul Bell, president of Dell's Europe, Middle East and Africa operation, said today.
Mr Bell added that no more staff cuts were planned for the rest of the year in the region as the company braces for the fourth quarter, traditionally the strongest for the industry. The company is hoping for a turnaround in the sagging PC industry in early 2002.
In Europe, the PC market shrunk by two per cent for the quarter. But Mr Bell pointed out that Dell's sales in Europe jumped by 25 per cent in the same period as the company waged a price war which claimed Dublin based Gateway earlier this month.
Dell's build-to-order business model has enabled it to keep a bare bones inventory level and consistently the most competitive prices in the industry.
Mr Bell stated that it would continue to "price aggressively", a tactic that has helped it secure top market share in Europe, but said there was no pressure to continue dropping prices.