Lots of rumours about another big round of layoffs at AOL in August, with the axe falling most heavily on Dulles. A senior-level source, however, says these rumours are flat-out wrong. The source says the company is merely continuing to do what we and others have reported over the past month:
- Cutting non-headcount expenses (travel, Dulles-NY shuttle, Weblogs budget overruns, etc)
- Closing or selling non-strategic divisions (XDrive, etc)
This “belt tightening” and “strategic realignment” may involve some minor job cuts, our source says, but nothing like the major amputations of past years. Some of those working on terminated projects will also be given jobs elsewhere in the company.