HP warns of Asia job cuts
Six weeks until axe falls
Following its third quarter results showing its slimmest growth for years, Hewlett-Packard says it may have to cut jobs in the Asia Pacific region. This announcement casts doubt on the safety of over 25,000 jobs throughout Asia in 74 sales offices and 18 manufacturing plants. Richard Warmington, MD of HP's Asian operations, said that the company would resist making sweeping cuts as high tech talent in Asia is in short supply. The final decision over the cuts will be made in the next six weeks, and will particularly affect Southeast Asia, the company said. The company has taken a series of cost cutting decisions in the last year. Hiring has been put on hold, travel budgets have been shrunk, senior managers have taken pay cuts, and earlier this year, employees were asked to take a five day holiday. Warmington said that the industry could expect to see more of the same. .