Some NMCI Strike Force workers laid off

Some NMCI Strike Force workers laid off

Electronic Data Systems Corp. has laid off 10 percent of its Navy-Marine Corps Intranet Strike Force as a cost-saving measure after a month-long impasse with the Defense Department over system testing and consolidation of legacy applications.

Kevin Clarke, an EDS spokesman, said last week's move to lay off or redeploy 310 of the Strike Force's 3,100 workers is temporary and consistent with contract requirements. Clarke said that when EDS begins assuming management of more NMCI seats, which is expected late this year or early next year, the company will likely hire back many of the affected workers.

'We've taken great pains to limit the impact on personnel,' Clarke said, adding that the company 'temporarily has more resources than we need. Throughout the life of this program, we will continually adjust the resource level to match the level of the contract.'

The layoffs were spread out across the board, Clarke said, from EDS employees to subcontractors.

Navy officials said the layoffs were not an indication of significant problems within the NMCI project. The $6.9 billion outsourcing initiative will consolidate 200 Navy and Marine Corps networks into a single intranet.

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