Informix grows in NZ, but redunancies overseas

While database company Informix lays off nearly 500 employees in the US, the New Zealand operation is expanding, says managing director James Rae.

While database company Informix lays off nearly 500 employees in the US, the New Zealand operation is expanding, says managing director James Rae.

Last week the database and Web software vendor announced that it is cutting staff numbers as part of a restructuring plan which condenses five business areas into two.

Rae says Informix New Zealand is hiring staff, having achieved 85% of its projected revenue growth for the year in the first six months.

Rae paints the restructuring as expected and a positive sign for the company, despite the redundancies.

“We had a database, but we needed to develop tools for it; then we did the same for the Web – core product and attached tools. That’s how we ended up with five divisions.

"But we’ve now released all the major products, so we’re merging all the non-database activities into one division while the database is in another. We don’t need all those product managers and administration people any more."

He says the company has also made acquisitions - buying products such as i.Reach, i.Decide and i.Sell - which had put on pressure for the removal of duplicate functions.

After the job cuts, Informix's worldwide headcount will be about 3800 staff, down from its previous level of 4300, though further sales and sales support hirings will bring the total number up to about 4000.

Informix has also revealed it will take a third-quarter restructuring charge of between $US75 million and $US90 million to support the move, followed by a further restructuring charge of between $US10 million and $US15 million during the first half of next year.

New Zealand customers of Informix’s e-business products include the Dunedin City Council and film product company Weta.

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