News

HP To Axe 30k Jobs in Restructuring

Published

9 years ago

September 16, 2015

Hewlett-Packard (HP) is preparing to shed up to another 30,000 jobs as the Silicon Valley pioneer launches into a new era in the same cost-cutting mode that has marred much of its recent history.
The cuts announced on Tuesday will occur within the newly formed Hewlett Packard Enterprise, a bundle of technology divisions focused on software, consulting, and data analysis that is splitting off from the company’s personal computer and printing operations.
The spin-off is scheduled to be completed by the end of next month.

The target means 10 to 12 percent of the 252,000 workers joining HP Enterprise will lose their jobs as part of the company’s effort to reduce its expenses by $2bn annually.
Roughly 50,000 workers will remain at HP Inc, which becomes the new name for the company retaining the PC and printer operations.
The cuts expand upon austerity measures that HP has been pursuing for years to offset the damage caused by acquisitions that failed to work out and a technological shift from PCs to mobile devices that reduced demand for many of the company’s key products.
HP has already jettisoned 55,000 jobs during past few years under Chief Executive Meg Whitman, who will become the leader of HP Enterprise.
The job cuts are being made while many other technology companies, better positioned to take advantage of the mobile evolution, have been on hiring sprees.
Google’s workforce has swollen by 25,000 employees, or 77 percent, during the past four years.