HP likely to cut down workforce

HP who has about 3,00,000 employees worldwide now plans to cut down their workforce by 8 to 10 percent, according to recent reports. The company is mulling over cutting down a minimum of 25,000 employees, which will include retirements as well. Nothing however has been confirmed, at the moment. Earlier there wasn’t a time frame, but an updated report states that the company could possibly announce the layoffs, when it announces the results of the next quarter. Reportedly, analysts have also been expecting job cuts with Whitman’s plan to merge HP’s personal computer and printer segments.

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This move has been initiated to restore the company to growth. Another report says that Whitman plans to cut about 30,000 or more jobs and spend the money she saves in the process on elevating the efficiency of the company’s sales force and also creating new products. Whitman will also consider voluntary retirement. One of the senior officials state that she is trying to build a new company and this is a part of that plan. Reportedly, Whitman’s new HP may not abandon any of its major businesses. According to reports, she has said that owning so many large businesses enables the company to acquire components cheaply through one of the largest supply chains in high technology, and also offer a one-stop shop for corporate tech. Before Ms. Whitman, Léo Apotheker had served for less than a year and the company saw a loss of 43 percent in the share price.

In India, HP recently announced its Converge Cloud for Mumbai, after offering the service in the U.S. In fact, the company has set up maximum private clouds in the country as its Converge Cloud combines traditional, private, public and managed clouds. HP has further partnered with Microsoft and Avaya and also set a global fund for companies looking to adopt cloud computing.

Published Date: May 18, 2012 05:30 pm | Updated Date: May 18, 2012 05:30 pm