TMCnews Featured Article
Ex-Sage Employees Offered a Job Fair at NetSuite
By David Sims, TMCnet Contributing Editor
NetSuite has announced plans to hold an online NetSuite (News - Alert) Career Fair for former Sage UK employees and Sage UK employees who were recently offered voluntary redundancy by Sage management. According to reporting in The Times cited by NetSuite officials, Sage would cut a further 600 positions this year, on top of cutting 400 staff last year.
About a fifth of the 1,000 jobs lost in 2008 and 2009, from Sage's 14,500-strong global workforce, will be made in Britain as part of a drive to reduce annual costs by an estimated £50 million.
NetSuite's European headquarters is in the UK. The vendor says it plans "continued expansion" of its workforce in the UK and across Europe.
NetSuite attributed the voluntary redundancy to "the declining demand for on-premise software," as well as "he company's poor rate of organic growth." According to IDC's (News - Alert) 2009 software forecast cited by NetSuite officials, Software as a Service will experience over 40 percent growth while on-premise ERP will have less than one percent growth in 2009. NetSuite officials tout the fact that they have only "a single code base to maintain."
From picking off customers to cherry picking employees -- a couple months ago TMC's Patrick Barnard reported that NetSuite was trying to win over Sage Group customers by offering them 50 percent off the first year of a SaaS (News - Alert) subscription and 100 hours of free professional services if they sign up by June 30.
The “Sage Switch” program, as it’s being called, according to Barnard, follows other, similar promotional offerings from NetSuite, including one targeting SAP (News - Alert) R/3 customers called “Business ByNetSuite.” This program, which was launched in November and recently extended through June, guarantees at least 50 percent off what R/3 customers are currently paying in services and maintenance to SAP.
The "Sage Switch" program, Barnard wrote, is a little different from the “Business ByNetSuite” program in that it offers a straight discount on the subscription fee and free services.
David Sims is a contributing editor for TMCnet. To read more of David’s articles, please visit his columnist page. He also blogs for TMCnet here.
Edited by Patrick Barnard