In 2012, HP Expected 27,000 Jobs Cut by 2014. Now 34,000.

Subject: General Tech | December 31, 2013 - 11:51 PM |
Tagged: hp

HP has returned to profitability after its $12.7 billion hole that is otherwise known as Fiscal Year 2012. While this year was significantly better, netting $5.1 billion rather than losing it, the company is continuing the plan to reduce their number of employees. We reported on their intentions back in May 2012. At that time, the company reported that 27,000 would lose their jobs through 2014. That number has since grown, twice, reaching 34,000 by the end of the year.

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HP attributes the increases to "continued market and business pressures".

There are two directions you could take this story: on the positive side, HP's stock has nearly doubled and they have basically nullified 2012 with the combined gains from 2011 and 2013; on the negative angle, they are cutting much more aggressively than predicted. Either way, the investors seem happy with the company's direction.

... and I am sorry for having this be the first story of 2014.

Source: Ars Technica
January 1, 2014 | 03:37 AM - Posted by ThorAxe

Some good news to start the year. Hopefully the PC Market is on the way back.

Anecdotally my wife and I have purchased two 13.3" Vaio Pros recently and I know of 2 other friends that have purchased new laptops in the past 4 months.

January 1, 2014 | 08:04 AM - Posted by Anonymous (not verified)

You say they were "Fired", did they do somthing wrong to get "Fired", usually someone can not collect unemployment if they are fired. This looks like a mass layoff, and there may be less/more layoffs, but HP is required to give at least 60 days notice to employees and federal/state UI agencies in advance of a mass layoff action! Depending on each workers skill set, some may walk out the door with Headhunters in hot pursuit, while others may have a hard time, depending on the economic conditions at the time of seperation.

January 1, 2014 | 12:12 PM - Posted by Scott Michaud

Eh, I changed the title (left the link as-is though).

January 1, 2014 | 08:37 AM - Posted by BBMan (not verified)

Watch the demographics of these layoffs. Many jobs have been off-shored and these layoffs looks like they are scattered all over the world- which may include a culling of the Asian flock. When you think that HP has 330,000 employees, percentage-wise this isn't drastic. A lot of this can be attrition over a year and voluntary packages for those who qualify. From what I've been seeing- it's all of the above.

January 1, 2014 | 11:28 AM - Posted by praack

layoff is not the real nomenclature to apply either- since a layoff is normally followed by a back to work order. in this case you have a mass separation from employment- whether you wish to call it a redundancy, off shoring or firing- the result is the same.

the firing clause in the unemployment law is actually a separation with cause. if no cause is found then the person can receive unemployment.

as for demographics- unless most of the 34,000 are off shore it will be big hit - however i believe we are looking at the loss of North America and EU jobs- mainly North America since there are not as many rules in play surrounding employement

January 1, 2014 | 02:55 PM - Posted by Anonymous (not verified)

Furlough is the correct word for a tempory until the work returns loss of employment, many auto workers get furloughed when the plants retool for a new model or there is too much stock in the pipline! A laidoff worker is usually expected to do a weekly search for work and record this search as proof to obtain weekly UI benifits, furloughed workers, with expected return to work dates set, can continue to collect UI benifits, without having to do a job search, until their callback date arrives! Union laborors and craftpersons who work out of union hireing halls, when they are Furloughed or laidoff are only required to get their unions hireing business agent to sign their UI weekly job search book, as they are dispatched to jobs through the unions hiring hall apparatus! Union Staghands for the most part work by the performence, tradeshow, TV production, or motion picture production, and are automatically laidoff by contract clause once the event is over! I have worked as a union laborer and union Stagehand, and the stagehand job usually comes with no guarantee of stable continous work, unless you are the house crew of a theater, or some backlot production TV/motionpicture studio! I have on many occations made my monthly income in just a few days working TV commercials, Traveling broadway shows(Take ins, take Outs, show performences), and large tradeshows.

January 2, 2014 | 08:30 AM - Posted by BBMan (not verified)

Then let's use corporate right-speak:

Right-sizing.

January 2, 2014 | 08:20 AM - Posted by Patrick3D (not verified)

HP already outsourced their IT support about 10 years ago, I wonder what fields these layoffs are in? Probably shutting down sites that were acquired through buyouts of other companies would be my guess.

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