When a company is not doing so well financially there are a number of tactics it can take to get itself back on the right track. Some of those things include filing for bankruptcy, getting rid of a few key underperforming products, or laying off a ton of its employees. Company layoffs are one of the hardest things a company can do. Having to tell hundreds, sometimes thousands of people that they no longer have a consistent paycheck can really take a toll on you.
Over the years, there have been a handful of horror stories about large companies needing to layoff dozens of thousands of employees at once due to one reason or another. Some of these companies are well-known and respected companies that you would never believe would fall on hard times due to their ever-growing success.
Here are the 10 biggest corporate layoffs in history.
IBM – 60,000 employees
In July 1993, IBM laid off 60,000 employees. In the early 90’s, IBM’s core mainframe business began to disseminate after the personal computer and client-serverr began to emerge. In order to allow the company to focus on providing integrated solutions for its customers, CEO Louis Gerstner put aside $8.9 billion, which resulted in the cutting of 60,000 positions.
Citigroup – 50,000 employees
In November 2008, Citigroup laid off 50,000 employees. At the time, Citigroup was planning divestments, and this move alone led to over half of the employees being cut. Former CEO Vikram Pandit claimed, “there is nothing easy about these decisions and the impact on our people. We do this because we must and not because we want to.”