Cisco Systems cost cutting move for Christmas time may have people thinking they are another Ebenezer Scrooge. However, I think this a wise and timely move.
If you do a cost/benefit analysis on this one it makes total sense because how much productivity is the company getting for the money they are paying out during this time.
Just from my own experience people would rather have the time off then the paycheque. Now it is still unconfirmed whether Cisco will be reducing payroll with this measure.
So far according to our IDG Newswire story investment firm UBS stated that the networking giant will save US$1 billion from the four day shut down from Christmas to New Years.
I am sure some workers will think this is unfair but if you factor in the U.S. Thanksgiving Day holiday I think in the end it will be a wash. Most American workers take four days off during the Thanksgiving Day break even though it is just one official day off. Productivity is very low during this time, but the paycheques are still paid.
Workers really do not want to be at work during the Christmas break. They want to be with their families and that is where they should be.
Let’s face some fact. We are entering a long period of uncertainty. It would be wise for any company to look at these cost savings actions. This one from Cisco looks to me to be a no brainer.
