Layoffs Get Real

December 5th, 2008 at 12:00 am
 


real networks

Yes, layoffs are a real thing and it’s becoming a lot more common these days.  This piece however is a report on the layoffs at Real Networks, that company that provides some video and music and the Real Player.

This morning we told about 130 employees around the world that we are eliminating their positions at the end of the year.  That’s roughly 7.5 percent of our worldwide employment base. 

The layoffs, in addition to other cost cutting measures, are part of a budgeting process that is intended to bring expenses in line with current and prospective economic realities.  While our business has not been affected as much as many others, we aren‘t immune to what’s going on in the broader economy. [The Real Story]

It’s quite sad to hear news like this even if it gets more often.  It’s worse especially when you hear companies like Real being affected drastically by the economic climate in the country.

Real has been there since the beginning of the internet. Well not exactly but for more than ten years, they’ve weathered the bursting bubble of 2001 and went on to be a player quiet player in Web 2.0.  However, like every other business faced with a recession, they too need to cut costs and hence the pink slips.

Moreover, it really isn’t a question of poor management or reckless company spending, the recession is a speed bump on any business’s road and probably there’s no one to blame.  Layoffs  are merely  a reaction to the situation.

Any which way, it’s sad and for those losing their jobs, we all wish the crisis ends.