VMware employees informed of upcoming layoffs

VMware employees informed of upcoming layoffs

During an internal meeting, VMware management informed its employees of upcoming layoffs. It is not ruled out that some may have to leave even before the acquisition by Broadcom is fully complete.

Broadcom will take control of VMware at the end of October. This brings intern changes to the software company, as the transition appears to be accompanied by job losses. VMware employees were informed of this at an internal meeting last week, The Register knows.

Management indicates that employees will be offered several options once the transition approaches. Staff who are laid off due to budget cuts will be entitled to severance pay under VMware’s usual terms. It is also possible that employees will already be notified of impending layoffs but will remain employed for a while with a short contract. Other employees will receive a new offer from the hardware manufacturer upon acquisition.

‘No clarity yet’

In the meantime, VMware management says it is unable to provide clarity on the positions that will disappear. Broadcom will finish this task and will not inform the current management.

The information is not officially confirmed by VMware. That changes to VMware’s operations are coming was something Tom Krause, president of Broadcom, already said about a year ago. It was already made clear to customers that a rapid transition was in the works to replace perpetual licenses for VMware products with license subscriptions. So, it was already clear that the hardware manufacturer was not just adopting the old habits.