Xerox joined a number of US companies to announce job cuts over the past week when it announced yesterday that it would shed 2,600 jobs as it moves to counter weaker margins in sales of office equipment.
The majority of the cuts will be in technical support services and manufacturing in Europe and North America.
However, a Xerox spokeswoman said the restructuring would have no impact on Ireland.
The company, best known for making copiers and printers, said second-quarter net income had more than doubled to $423 million (€351 million) after a gain from a tax settlement.
However, gross margins of 39 per cent were at the low end of expectations because of weaker sales of higher-margin large office equipment. Xerox also recorded restructuring charges of about $200 million, or 13 cent per share, in the second quarter.
It is understood the move, which involves centralising of resources within manufacturing and logistics, will affect mainly Holland and Britain.
Xerox employs 1,900 in the Republic. Around 1,500 people work in the company's European shared services division in Ballycoolin, Dublin, while 400 people work at its technology park in Dundalk. Weaker margins have plagued Xerox in the past few quarters as the company shifts its mix of products and rolls out new digital technology.
Larry Zimmerman, chief financial officer, said there was a slower-than-expected start to some key products such as the Nuvera, a black-and-white digital photocopier.
"But it's a long-term product. It shouldn't be judged by three months, but over a long time. We want to get it right."
Anne Mulcahy, chief executive, said: "These equipment sales will drive future post-sale gains and we're adjusting our business model to respond to the resulting pressure on margins."
The company launched 24 new office products last month as it competes fiercely with rivals such as Canon, HP and Ricoh.
Xerox warned of potentially weaker results in the third quarter, but said it expected a stronger fourth quarter as new products take off and it begins to see the benefits of restructuring.
Xerox said total revenue increased 2 per cent to $3.9 billion, but would have remained flat if not for a boost from favourable exchange rates.
Colour was one of its bright spots, with revenue from those products 17 per cent higher in the second quarter.
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