Skip to main content

$54 billion VMware told employees it's freezing salaries, cutting CEO and other executive pay, and suspending 401(k) matches over the impact of COVID-19 (VMW)

* VMware, the $54 billion IT software giant, told employees it was freezing salaries and suspending 401(k) matches because of the COVID-19 crisis.  * An internal memo obtained by Business Insider said CEO Pat Gelsinger, other top executives, and board members would also take salary reductions. * "Many of our customers are under financial pressure," the memo signed by Chief Financial Officer Zane Rowe and Chief People Officer Betsy Sutter said. "VMware must also be thoughtful and prudent as we navigate the next several quarters." * Click here for more BI Prime stories. VMware, the $54 billion enterprise-IT giant and Dell subsidiary, told its employees on Tuesday it was forgoing salary increases and suspending 401(k) retirement-fund matches in the US amid its struggles with the coronavirus pandemic. A memo to the company's 31,000 employees, a copy of which was obtained by Business Insider, also said it was shifting from a semiannual to an annual bonus plan and would delay its annual promotion-review cycle.  CEO Pat Gelsinger, other top executives, and the VMware board will also take salary reductions in its fiscal second and third quarters "to support efforts to manage through the current economic uncertainty." "The global economy is facing serious challenges brought on by the COVID-19 pandemic and the overall economic outlook remains uncertain," the memo from Chief Financial Officer Zane Rowe and Chief People Officer Betsy Sutter said. "Many of our customers are under financial pressure ... They remain cautious in their short- and mid-term investment plans and that means VMware must also be thoughtful and prudent as we navigate the next several quarters." Michael Thacker, a VMware spokesperson, confirmed that "there have been a number of cost management changes impacting the VMware workforce." "This is a part of a thoughtful and prudent plan designed to address the current uncertainty of the COVID-19 pandemic and the overall economic outlook, while ensuring the company has the skills and talent needed to accelerate growth as the economy stabilizes," he told Business Insider in an email. VMware is a major player in the tech market, particularly the cloud, as a pioneer in virtualization, which enables businesses to access disparate computer systems as one network. Got a tip about VMware or another tech company? Contact this reporter via email at bpimentel@businessinsider.com, message him on Twitter @benpimentel, or send him a secure message through Signal at (510) 731-8429. You can also contact Business Insider securely via SecureDrop. Claim your 20% discount on an annual subscription to BI Prime by clicking here. SEE ALSO: Meet the 10 VMware power players helping turn the legacy tech company into a major powerhouse in the cloud computing wars Join the conversation about this story » NOW WATCH: Here's what it's like to travel during the coronavirus outbreak
https://bit.ly/3bdD60U

Popular posts from this blog

Tokyo installed see-through public toilets in a park to let people inspect their cleanliness before using them, at which point the glass turns opaque

* Two see-through bathrooms have been installed in public parks in Tokyo. * They are made from "smart glass" designed so people can see how clean they are inside before using them. The glass turns opaque when the bathroom is locked and in use. * The stalls are part of a project that is redoing 17 of the city's public bathrooms with different designers to make them more accessible and appealing. * The goal is to fight assumptions that public toilets are "are dark, dirty, smelly, and scary," said the nonprofit foundation behind the project. * Visit Business Insider's homepage for more stories. Tokyo has installed two see-through bathroom facilities in public parks, allowing people to see how clean they are before deciding to use them, at which point they turn opaque. The bathrooms are made of colored "smart glass," which turns opaque when the stalls are locked, said Shigeru Ban, the architect behind the designs. You can see how it works her...
Read more

Bill Gates says the world would need as many as 14 billion doses of a coronavirus vaccine to stop the virus

* The world could need as many as 14 billion doses of COVID-19 vaccines, Bill Gates said on Thursday in a blog post about the race to develop a way to make people immune to the disease. * "We need to make billions of doses, we need to get them out to every part of the world, and we need all of this to happen as quickly as possible," Gates said. * Gates said he had his eyes on eight to 10 promising candidates, adding that healthcare workers and people in low-income countries should be first in line once we find one that works. * While potential vaccines are progressing with historic speed, they're still months, or even years away, and the biggest challenge lies ahead in proving whether they are safe and effective in humans. * Visit Business Insider's homepage for more stories. Bill Gates believes we may eventually need to produce as many as 14 billion doses of COVID-19 vaccines globally and that we're anywhere from nine months to two years away from making tha...
Read more

The 11 most important details we already know about the PlayStation 5, Sony's next-generation video game console set to arrive this year

* The PlayStation 5, Sony's next-generation game console that's deep in production, is scheduled to launch during the 2020 holiday season. * As you might expect, the PlayStation 5 is promised to be more powerful than the existing PlayStation 4 — and we've slowly been learning more about the next-gen console's new features since it was first revealed. * So far, Sony has offered a first glimpse at the new console via its new DualSense gamepad, and a tech demo highlighted the technical prowess of the new machine. * Here's everything we know so far about Sony's next-generation PlayStation console. * Visit Business Insider's homepage for more stories. The PlayStation 5 is almost here. Sony's next-generation PlayStation game console is scheduled to arrive this holiday season, but we already know plenty of details about it right now: how powerful it is, its main features, and we've even gotten a good look at its new gamepad.  Here everything we kno...
Read more