No job security for Novell staff

Novell is poised to announce operational cuts that could result in hundreds of redundancies in Utah.

The network software giant is drawing up a budget for 2001 that aims to cut back expenses, following a 17 per cent drop in revenue this quarter.

The company dismissed as "rumours" widespread allegations that it is ready to sack up to 30 per cent of its 5,500-strong workforce. However, spokeswoman Joanne Hughes said: "We will be reducing expenses in line with revenues."

Novell's next financial year begins in November, and the budget is due to be finalised in coming weeks. Hughes said no details were yet available, but short-term measures would include cutting back on travel expenses.