Digital Trends

The fading economy is forcing Xerox to reorganize and lay off 5% of its staff, which will translate to around 3,000 job cuts.

Xerox made a third quarter profit of $258 million, but has been pushed into a reorganization plan by the worsening economy. As part of that, the company will lay off 5% of its staff, which will translate into around 3,000 job cuts.

Xerox CEO and chairman Anne Mulcahy said:

"To better align our operations with these changes, we’re accelerating actions to reduce our cost base and drive operational improvements across the board, giving us more flexibility in our business and in this unpredictable economy."

This news follow the announcement that Yahoo is laying off 1,500 staff, and chip maker Micron has said it expects to lay off 3,000 employees, Vnunet said.