Whitman said to be planning massive HP job cuts
25,000 to 35,000 HPers may face extinction
Magic Quadrant for Enterprise Backup/Recovery
New(ish) HP CEO Meg Whitman has been at the helm for long enough to come up with a longer-term plan for the company, and according to various rumors, her plan will look eerily familiar to HPers who remember the early years of ex-CEO Mark Hurd: job cuts, predominantly in services.
According to a report on CNBC television, HP is looking to cut anywhere from 8 to 10 per cent of its 324,600-strong workforce, and will make the announcement next Wednesday, when it puts out its financial results for the second quarter of its fiscal 2012.
The total cuts would be somewhere in the range of 26,000 to 35,000 employees, if the CNBC report is correct.
The idea, their sources say, is to cut costs not only to move to higher profits, but also to free up cash to reinvest in the company.
Bloomberg has also caught wind of the impending job cuts, and says that Whitman and her management team are looking to shed around 25,000 workers, with somewhere between 10,000 and 15,000 being culled from its Enterprise Services group, which provides outsourcing and other consulting services to IT departments all over the world.
Both reports say that HP will be doing a combination of early retirement offers for several thousand employees and layoffs for the rest to reach its workforce-reduction targets.
Consulting firm McKinsey & Co is helping HP come up with the plan, according to the Bloomberg report.
An HP spokesperson told El Reg that the company does not comment on such rumors. ®
COMMENTS
What's the betting
That the measly mouthed Press Release will include the words 'Without affecting the service we deliver to our customers' (or something similar).
They used those very words when I was let go by HP not long after their takeover of Compaq.
They closed the whole department. About 50% of the team setup on their own and 'took' their customer base with them.
I fully expect that this will be the case here.
If you outsource to HP you had better make sure that your contract includes a minimum staffing level otherwise you I might find your whole IT operation being run by one guy in India,
That old chestnut again
Get hired as boss, proceed to lay waste to the workers who are the ones making sure you have something to sell especially the expensive ones who actually know what they are doing, sell off as many bits as you think you can get away with and merge those bits that you can't. Point to the figures in 12 months time that show just how much money you saved the company so it looks like profits are up and get the board to give you a massive bonus. Leave as quickly as possible for another top job somewhere else using the same figures to show why the new company should employ you and do the same again as in companies of that size it takes a few years before the massive damage you have done begins to show and then watch the company slide into a shadow of its former self if it manages to keep going at all.
Same old useless horseshit
So after all these months, this the best Meg Whitman can come up with.
Why bother to innovate, create new services and products, attract more customers.
Naw, we'll just fire 10,000 staff to push up profits in a year or so. We'll ignore the fact we have stagnated utterly.
A decision a first-year beancounter could of shat out while in a coma.
What a useless fucking hag she is, HP must be delighted to continue their record of brain-damaged CEO's that somehow fell into the job.
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