14 DAY TRIAL // PC manufacturer and vendor Dell has entered a shutting down spree, that is alleged to increase profitability. Yesterday I told you about the fact that the company has axed its Dell Direct kiosks in the United States airports and supermarkets in order to focus on direct shopping.
Today, the company has announced that it will terminate its Canadian call center in Ottawa. This move will result in almost 900 jobs being shed at once. This is not it, as Dell tossed away the idea of opening a second facility of this kind in the Canadian capital, as promised before.
Dell had everything ready and was supposed to open the already-built 45,720 square-meters facility in early April. However, it seems that the building will remain deserted until Dell finds another use for it. If Dell had managed to carry the project to the end, the company would have created yet another 1,200 jobs.
Ever since Michael Dell came back as CEO, he imposed drastic measures for increasing the company's profitability. One of the most drastic measures was announced in November 2006 and asked that 10 percent of the company's worldwide workforce should be shed immediately. That resulted in more than 8,000 employees being fired. Dell also axed its tech support divisions in the US, namely Tennessee, Texas and Oregon. A previous press release had Dell saying that the company would not terminate its Ottawa business.
Canadians were heavily relying on Dell's business, and even proclaimed March 29 as Ottawa's "Dell Day". As things evolved this year, it's likely that the holiday will get canceled.
"Dell's success here in Ottawa has been nothing short of phenomenal," said the site leader Michael Jaillet in March of 2007. "By early 2008, Dell expects to be the third-largest high-tech employer in the city."