Menu
CA Technologies makes local staff cuts

CA Technologies makes local staff cuts

According to sources, about 15 staff have been made redundant

Comments

Security vendor, CA Technologies, is believed to have retrenched local staff in a bid to "re-balance its resources to better align with its business priorities."

The move to cut local staff comes in the wake of the global announcement to lay off 1200 employees worldwide in order to consolidate development sites and centralise development hubs.

Sources have told ARN at least 15 staff were made redundant on May 9 and 10.

A local CA spokesperson would not confirm nor deny this figure, instead stating it won't release information on specific locations as it was in the process of notifying employees and affected sites.

ARN has also confirmed that CA Technologies director of data management CSU, Scott Caulfield, has left the company.

The global retrenchments come on the back of the release of CA’s fourth-quarter financial results, which reported revenue of $1.15 billion ended March 31, 2013, a decline of three per cent from $1.18 billion in the same period last year.

For fiscal 2013, CA clocked in revenue of $4.6 billion, down four per cent from $4.8 billion the year before. Meanwhile, income from continuing operations was $242 million, up 15 per cent from $211 million last year.

The company said it will be taking a charge of $150 million in fiscal 2014 to cover the costs of cutbacks, which are slated to take place by the end of the first quarter of fiscal year 2014.

CA said it expects to back-fill a majority of the positions over the next 12 months with new employees with skills that will enable the company to better focus its resources on priority products and market segments.

“The consolidation of development sites into development hubs will promote collaboration and agile development,” the company said in a statement. “The company also plans to further streamline its sales structure to eliminate overlays while maintaining its focus on its existing enterprise and enterprise growth customer segments.”

CA Technologies CEO, Mike Gregoire, further commented on the fourth-quarter financial results and global cuts.

“When I look at the significant assets at CA Technologies, I believe there is an opportunity for us to improve our performance by stronger focus on product innovation, leveraging customer relationships and better execution in new customer adoption," Gregoire said in a statement.

“The traditional ways we've looked at systems, data, applications and security are being challenged by disruptive technologies like mobility, Cloud, SaaS and Big Data. Businesses have higher expectations from IT, demanding far greater speed and agility and anytime, anywhere secure connectivity. These are areas where CA has expertise and can help,” he said.

“To better meet this customer demand, today we announced a plan and corresponding charge of approximately $150 million for fiscal year 2014 that will enable us to rebalance our resources to drive greater innovation and collaboration in product development and greater efficiency and better sales execution.”


Follow Us

Join the newsletter!

Error: Please check your email address.

Tags CA Technologiesstaff cutsfinancial results

Show Comments