Internal restructuring
Location of affected unit(s)
US, London, Sydney, Hong Kong, Munich
Information / Communication
Information Service Activities
Digital Infrastructure Services
63.11 - Data processing, hosting and related activities

300 jobs
Number of planned job losses
Job loss
Announcement Date
7 February 2017
Employment effect (start)
7 February 2017
Foreseen end date


On Tuesday 7 February, Rackspace Hosting Inc. announced a plan to cut its workforce of about 6%. Rackspace is a managed cloud computing company, its headquarter is based in Windcrest, Texas. The company has offices also in other U.S. cities and in London, Sydney, Hong Kong and Munich. Globally Rackspace employs more than 6,200 workers.

CEO Taylor Rhodes, in a blog post published on the company website, announced that the majority of the cuts will affect the U.S. workforce. Rackspace is also proposing smaller reductions other countries. The U.S. layoffs and proposed international reductions are “top down” primarily impacting middle managers.


  • 7 February 2017: blog rackspace
  • 7 February 2017: downtown austin patch


Eurofound (2017), Rackspace Inc., Internal restructuring in World, factsheet number 90170, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/90170.