The US Economy continues to take blow after blow regarding the workforce. According to a new report, Seagate will eliminate about 6,500 positions by the end of fiscal 2017, according to a statement. Cupertino, The California-based company had previously indicated workforce cuts of about 3 percent, or 1,600 jobs,

and the stock rallied as much as 13 percent on news of the broader restructuring. The moves will result in pretax charges of about $164 million next year. Component makers are suffering through a fifth consecutive annual decline in personal-computer shipments.

The magnetic spinning-disk technology that Seagate uses in its hard drives is also facing competition from semiconductor-based storage products that the company doesn’t have. READ MORE