Internet consulting firm marchFIRST Inc.
announced that it is cutting its workforce by 10 percent, or about 1,000 employees, as it tries to cut costs in the wake of a declining market.
The Chicago-based company said it expects to save about $100 million annually from the job cuts, starting in 2001.
“We’re in a very challenging and tough market place today,” said Thomas Metz, marchFirst CEO. “A few months ago, our market place was booming and like many in our sector, we got ahead of ourselves in our hiring cycle.”
The layoffs, effective immediately, affect consultants who specialize in outdated technologies or whose skills are no longer in demand by clients and field and corporate support staff, the company said.
MarchFIRST said the layoffs will not impact service delivery to its clients.
The company continues to recruit and hire in areas like senior business development, Metz said.
MarchFIRST, created from the merger of Whittman-Hart and USWeb/CKS last March, reported disappointing third-quarter earnings on Oct. 24, sending its shares tumbling.