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EMC (NYSE: EMC) announced it will cut its workforce by 7 percent as the data storage giant looks to cut costs.

The storage giant will eliminate 2,400 positions as part of an effort to reduce costs by about $350 million in 2009 and an additional $500 million in 2010.

Despite the pending layoff plans, EMC says it’s on track to post record quarterly revenue that will meet fourth quarter expectations. In a statement, EMC said fourth-quarter 2008 revenues would total about $4 billion, representing 4 percent growth over the same period in 2007 and an 8 percent increase compared with the third quarter of 2008.

EMC suspended salary increases and said that CEO Joe Tucci and other senior executives would take a pay cut this year. EMC said it would give more details when it reports its complete quarterly results on Jan. 27.

EMC closed Thursday (Jan. 8) up 6 percent at 11.89 per share.