Dell is offering employees a week of unpaid leave in order to cut costs. “Dell informed employees of its cost-cutting measures in an e-mail from chief executive Michael Dell.

The note explained that although the leave program is voluntary, the company may resort to layoffs if it cannot save as much as hoped through this round of cutbacks. ” [Dallas Morning News]


Edit Your Comment

  1. Corporate-Shill says:

    Unpaid leave?

    Tsk, Tsk, Tsk.

  2. copious28 says:

    At least its voluntary…in the semiconductor business they just tell you when you are going to take time off w/o pay.

  3. SpdRacer says:

    Dude, your getting a vacation!

    Sorry, couldn’t resist.

  4. redqueenmeg says:

    Hey there, Dell, I remember when you sent my job overseas! Glad that worked out.

    • stinerman says:

      No worries! By offshoring your job, Michael Dell was able to buy that 2nd yacht he always wanted, and the laptop I recommended to a small business was $1.80 less than it would have been otherwise.

      The Free Market cures all ills! Cheers!

      • metsarethe... says:

        @stinerman: People want computers as cheap as possible, when they re willing to pay more, they might bring your job back.

        It’s like all those people who want to shop at walmart and not pay a penny more than they need to but also want to keep jobs in the U.S.

  5. altryan says:

    The only bad part is when you take a week of unpaid leave and everyone realizes that you dont actually doing anything and they really dont need you there…

    • Geekybiker says:

      @altryan: No kidding. I wouldn’t be volunteering.

    • Gopher bond says:

      @altryan: I came here to say “It’s a trap!”

      When they look to make layoffs, there going to look at the people that weren’t there for a week and what impact that had on the company. When your supervisor is approached by HR and asked what impact your absence had on the department and the supervisor says, “He was off last week?” well, as Trump would say, “You’re fired!”

    • Rectilinear Propagation says:

      @altryan: Hopefully, they won’t have to take the entire week off all at once. If so, they can use the time off to go on job interviews.

  6. DeleteThisAccount says:

    I have a feeling that HP is going to have one of these voluntary sessions for my department after November.

  7. howie_in_az says:

    A job I once worked for did this but made it mandatory. Lots of coworkers apparently lived paycheck to paycheck with little to no savings. It was pretty horrible.

  8. MercuryPDX says:

    A company I used to work for did this; it was mandatory though. They timed it so it wouldn’t effect what work we had, meaning no department would be short too many employees in a give week. It also applied to EVERY employee, from the receptionist up to the President.

    We made it through the quarter without having to do any layoffs.

  9. arkangel says:

    They’re doing something similar where I work too. All salaried employees have to take an unpaid week off, but they can choose when it’ll actually be. I wouldn’t be surprised if they did that to us hourly workers too, it’s happened before.

  10. humphrmi says:

    This often works out OK. It’s surprising how many people, if given the chance to take a week off (even without pay), will do it. Clean up the house, work on a project, whatever. It’s not as good as paid vacation, but it’s better to at least have a job to come back to after a week.

    • trunkwontopen says:

      @humphrmi: This is true. I would imagine if you asked hte american population if they would suffer for a week to guarantee job security, a good portion of them would say yes. I know I would.

  11. Trick says:

    I have a ton of vacation I can’t use because I am so busy… not just with work, even if I take time off I can’t go anywhere!

    Though I reckon if I was forced to take time off I would force myself to use that time wisely and not sit around on the computer complaining about not having any time for anything.

    That is what I do at work.

  12. papahoth says:

    Fox news is probably blaming on Obama

  13. InThrees says:

    According to the first google search result with a number I found, Michael Dell is a billionaire who has a salary of over eighty million dollars.

    If he took a week of unpaid leave, that would save the company $1.5 million dollars.

    • JustThatGuy3 says:


      Actually, his total comp last year was about $2MM. Also, ask the shareholders how they feel about Dell taking a week off. My guess, they’d rather have a week of him than another $38k in the Dell cash account.

  14. Bertmanintx says:

    wasnt sure if my first comment went through, so here it is again :)

    I can see why Dell is having some problems. I bought a camera from them and used a 15% coupon. The coupon was valid as long as I used their financing. Upon reviewing the invoice, the coupon was not applied. I called their customer service (cs rep was in the Philippines) and I explained the problem to him. He said he could not apply this coupon, rather, I would have to order another camera, and he could then apply this coupon. He instructed me then to return the one order under their return policy. I think this is silly and a complete waste of money (shipping the camera to me again, and shipping the camera I have back). I can see why Dell may have some financial problems.

  15. Ardoreal says:

    Oh boy what a deal. Let’s go without pay, I’m sure people are gonna love that. Let’s see about how to cut costs so that the executives can get a bonus for cost cutting. This reminds me of the Phizer CEO getting a ten million dollar bonus for his fiscal management by laying off 10,000 people.

    Fuck Dell, er Dull rather. Bunch of asshats anyway. I tell everyone I know never to buy Dell.

    • Haltingpoint says:

      @Ardoreal: You do realize that his compensation was for a large number of things and by slashing 10k jobs, he helped the company meet its numbers, which improved its value to shareholders, which raised, the stock price, which made the company money, etc.

      I’d be willing to bet that by firing them he made the company a LOT more money than just $10mm.

      I find that people here fail to see the big picture. Yes it sucks that people got laid off. Yes it looks bad that a high-level exec is getting a fat bonus. However the reality is that they get paid that bonus for adding a large amount of value to the company, more-so apparently than the value provided by those 10k workers.

      It all comes down to the bottom line with a business and it is frequently worth more to reward those at the top than it is those at the bottom if those at the top make decisions that ultimately increase the value of the company.

  16. little stripes says:

    Yeah, a week without pay is totally the way to get consumers to start buying again.

    If I had to miss an entire week of work without pay, I’d be screwed right now.

  17. U-235 says:

    Well, if any of their engineers want to jump ship, my bet is they’d be able to find a job in the nuclear industy. My group is at half force right now because they had a 20 year hiring freeze industry wide. Great job security though.

  18. S-the-K says:

    Wouldn’t it suck if you took the unpaid leave to save the company but, because not enough people participated, you got laid off anyway? Everyone else got a week’s more pay than you.

    I wonder if they make note of who participates and puts their name on a separate list. That way, when the ax falls, it lands first on those who did not participate.