Tech Pacific Australia has retrenched 59 employees across all areas of the company.
David Cullen, managing director, Tech Pacific Australia, said the retrenchments were "unfortunate", but were due to the current state of the marketplace.
"We are reacting early to what we see ahead in the next six months. We believe there are not enough drivers out there to suggest reasonable recovery until next quarter next year, so we have acted early to align our cost base with revenue levels in marketplace," Cullen said.
The staff cuts were the third for the year for Tech Pacific. In April, 83 staff were cut across all business units. ARN (Computerworld's sister publication) editor Gerard Norsa reports this was followed by a failed divestment process which saw Tech Pacific's parent company, Dutch group Hagemeyer, fail to sell its Asia-Pacific IT distribution group. The announcement that an injection of funds would not be forthcoming was soon followed by the sacking of four key senior personnel along with 21 others, late in September, Norsa wrote.
Cullen said he expects the layoffs will not have a major impact on the business, will not impact vendors or customers and will leave the Australian arm with 500 employees.