Dell is struggling with increasing internal challenges as employees report widespread burnout and a significant decline in morale. The reason behind this lower morale and burnout is attributed to the extensive layoffs as well as the company’s accelerated induction of Artificial Intelligence in more of its operations.
The company’s “Tell Dell” survey showed a dramatic plummet in its Employee Net Promoter Score (eNPS) to a mere 32. This is a steep drop from a higher score of 63 recorded in 2023, thus signaling a rapid deterioration of employee satisfaction and advocacy within just a year.
Loss in morale for Dell employees
The decline in morale and overall dissatisfaction is largely attributed to a combination of factors. Over the past two years, Dell has laid off approximately 25,000 employees, creating an environment of job insecurity and increased workload for the remaining staff. Adding to this is the company’s aggressive push into AI-driven solutions, which is perceived by many employees as directly contributing to “AI workload burnout.”
Some say that AI and related new technologies are adding more tasks rather than reducing the burden. Furthermore, stringent return-to-office (RTO) mandates have added another layer of frustration for many. Employees have frequently voiced concerns about a significant disconnect between leadership’s expectations and the on-the-ground realities faced by staff.
Not all is bad in Dell
Despite the dip in morale, one area where the survey showed positive signs as was the continued strong trust in immediate supervisors, with a Leader Net Promoter Score of 76. This suggests that while systemic issues are causing concerns, direct managerial relationships remain positive.
In response to these survey findings, Jenn Saavedra, Dell’s Chief Human Resources Officer, has publicly acknowledged the challenges. We know we have work to do. Our people are our greatest strength, and we are committed to making their experience better,” he wrote in an internal note.
Saavedra has committed to implementing a series of initiatives aimed at addressing the discontent and fostering a more positive work environment. These include establishing quarterly feedback sessions to ensure ongoing dialogue, promoting greater managerial transparency to bridge the gap between leadership and employees, and revamping internal listening mechanisms to better capture and act upon employee concerns.
