Dell Technologies has reduced its workforce by 10 per cent in the 2025 fiscal, bringing its headcount down to approximately 1.08 lakh employees from around 1.20 lakh the previous year. The move is part of the company’s ongoing cost-cutting measures, including limiting external hiring and reorganising staff.
In 2024, Dell’s workforce had already decreased by around five per cent. The tech giant continues to face mounting pressure from rising production costs, particularly in the AI server market, which remains highly competitive.
Despite the layoffs, the company remains committed to diversity and inclusion. It affirmed its focus on equal employment opportunities and inclusive policies to build a diverse workplace. While many renowned companies have scaled back their diversity, equity, and inclusion (DEI) programmes, Dell continues to pursue these initiatives.
The company’s decision to maintain its diversity goals comes amidst a growing debate over the relevance of DEI initiatives. Criticism from political figures has placed such programmes under scrutiny, with calls for investigations into their legality. However, Dell has chosen to uphold its inclusion efforts while navigating market challenges.
In February, Dell also projected a decline in its adjusted gross margin rate for fiscal 2026. The growing cost of manufacturing AI servers has impacted its financial outlook. The company is now focusing on optimising its operations while continuing to support its long-term business goals.
As it adapts to changing market dynamics, Dell is determined to build a resilient workforce and foster an inclusive work environment.
