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PairGain to Fire Some Employees

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Bloomberg News

PairGain Technologies Inc. said it will cut an undetermined number of jobs from its 700-member work force and contract out some manufacturing to Monterrey, Mexico, by July to reduce costs. The telephone equipment maker said it hasn’t determined how many workers it will fire at its headquarters in Tustin. The company has warned twice in the last year that earnings would miss forecasts as it lost business and cut prices to compete with rivals. Company officials didn’t return a phone call seeking comment. PairGain will use SCI Systems Inc., a Huntsville, Ala.-based electronics manufacturer, to make its products in Mexico. Shares of PairGain fell 63 cents to close at $15 on Nasdaq.

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