President Jeff Jacobson told the Wall Street Journal on Wednesday that Xerox will have to make further job cuts after the company breaks up its business at the end of the year. Jacobson will replace current CEO Ursula Burns to helm the separated photo-copier business.

“Part of that unfortunately comes from headcount reductions,” Jacobson told the Journal. “You want to be a leaner organization.”

The company is expected to have 39,000 employees after the split. Xerox already cut 4,800 jobs in the first quarter in a bid to lower costs, according to Bloomberg.

Although Jacobson did not specify how many positions would be axed following the spin off, the company has previously said it plans to boost its earnings by $1.5 billion a year, largely through cost cuts.

Xerox shares have risen nearly 3% in early trading Wednesday.