HP delays pay rises

Sorry

HP will suspend all pay increases from February 2002 until business conditions improve. An email to employees from 'The Executive Council' blamed the September 11 disaster for the decision.

Last December it announced that all planned raises would be deferred three months. As the message notes, employees that had their increases moved from November 2001 to February 2002, would now eligible for nothing - until the pay freeze thaws.

Employees have already taken unpaid vacations and implemented discretionary spending cuts, not to mention job cuts.

The council also says that the annual ranking period will be postponed until further notice, although normal management processes of performance evaluation should continue.

FuckedCompany.com provides a full copy of the message.

The company's merger plans have also been struck with setbacks, as members of both Hewlett and Packard families saying they are likely to now vote against the proposal.

Together they control 17 per cent of the stock of HP. Without their support, it looks increasingly difficult for HP to pull off the Compaq takeover. ®

Related Stories

Packard family naysays Compaq merger
SirCam merger gets personal: Valley aristos send Compaq paq-ing
Hewlett family hates Compaq merger (true)

Sponsored: 10 ways wire data helps conquer IT complexity