Wednesday, November 12, 2008

Insight Enterprises to Slash 240 U.S.-Based Jobs

In what it called an "expense action," Insight Enterprises Inc. announced Tuesday that it will dismiss some 240 U.S.-based employees as part of a cost-saving initiative. The Tempe, Ariz.-based supplier of IT hardware, software and services said the layoffs represent about 8 percent of its U.S. workforce. Insight said the firings, in combination with other recent measures, plus actions taken earlier this year, should translate to a $20 million, year-over-year reduction in net operating expenses. Rich Fennessy, Insight's president and chief executive, said the corporate restructuring was a difficult but necessary step toward improving the company's business model. Last week, Insight reported that it generated $1.2 billion in net sales for Q3 2008 and net earnings from continuing operations of $6.7 million.