Dell Technologies announced a 10% reduction in its workforce for fiscal 2025, according to its latest annual report released on Tuesday.

The company reported approximately 108,000 employees as of January 31, down from about 120,000 the previous year, as it continues efforts to streamline operations and reduce costs. These measures include limiting external hiring and implementing employee reorganizations.

Despite the workforce reduction, Dell reaffirmed its commitment to diversity and inclusion, stating in the report, “We are committed to equal employment opportunity and continuing to implement inclusive policies that enable Dell Technologies to achieve these goals.”

The company’s stance comes amid ongoing debate over diversity, equity, and inclusion initiatives. Former President Donald Trump has criticized DEI programs as discriminatory, and some companies, including Meta and Alphabet, have scaled back or eliminated such initiatives.

Dell’s workforce shrank by around 5% during fiscal year 2024, and in February, the company projected a decline in its adjusted gross margin rate for fiscal year 2026, citing the increased costs associated with building AI servers in an increasingly competitive market.