Sun's Aussie staff face 'hard decisions'

Sun Microsystems employees in Australia and New Zealand have been left hanging after local offices could not indicate how recently announced staff cuts would affect them.

Sun has announced 4,400 jobs globally will be cut, which equates to around 11 percent of its workforce. This will see the total number of employees reduced from 39,400 to 35,000, and comes on the back of the company's US$111 million loss for the last quarter.

However, despite the announcement, Sun hasn't revealed where the job cuts will come from.

"We're doing planning over days and weeks, so we don't really know when we can say," Sun Microsystems Australia spokesperson Catherine Vissiere told ZDNet Australia.

"Over the coming days and weeks all the business units will be reviewing their strategy," said Vissiere. "We're finalising planning and making tough decisions for our businesses in Australia and New Zealand."

The 4,400 figure includes 1,000 cuts announced six months ago, but excludes further cuts to contract and temporary workers, according to Sun's chief financial officer Steve McGowan.

The job cut is less drastic than the layoff of up to 8,000 workers that some analysts had expected. Cuts will affect all divisions, but will hit research and engineering divisions more lightly, McGowan said.

Sun will take a charge of about US$300 million in the second quarter, which ends December 31, for the layoffs. Job cuts will begin in the next four weeks in the United States, McGowan said.

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