Hp To Cut 27,000 Jobs Worldwide By End Fy 2014

[News_Editor]

HP to cut 27,000 jobs worldwide by end FY 2014 < br />

2012-05-25 04:40:20 GMT+7 (ICT)

PALO ALTO, CALIFORNIA (BNO NEWS) -- Global tech company Hewlett-Packard (HP) on Wednesday announced it will be forced to cut approximately 27,000 jobs worldwide in the coming years.

In what HP called a 'multi-year productivity initiative,' the company said the changes are designed to simplify business processes, advance innovation and deliver better results for customers, employees and shareholders.

In addition, HP said the restructuring plan is expected to generate annualized savings of $3 to $3.5 billion exiting fiscal year 2014. The company also said most of the saved funds will be reinvested back into the company, namely, in three areas: cloud, big data and security, as well as in other segments that offer 'attractive growth potential.'

HP expects the approximately 27,000 employees will be laid off by the end of fiscal year 2014. It represents roughly 8 percent of its global workforce, according to the most recent data from October 31, 2011.

"While some of these actions are difficult because they involve the loss of jobs, they are necessary to improve execution and to fund the long term health of the company," HP president and chief executive officer Meg Whitman stated. "We are setting HP on a path to extend our global leadership and deliver the greatest value to customers and shareholders."

As part of its restructuring strategies, HP said it is offering an early retirement program, so the total number of employees affected will be impacted by the number of employees that participate in the early retirement plan. The company also detailed that workforce reduction plans will vary by country, based on local legal requirements and consultation with works councils and employee representatives.

Whitman also said that the restructuring initiatives would "build upon our recent organizational realignment, and will further streamline our operations, improve our processes, and remove complexity from our business." In addition to these restructuring actions, HP expects to achieve additional savings from non-headcount cost reductions, including supply chain optimization, SKU and platform rationalization, go-to-market strategy simplification and business process improvement.

In June 2010, HP announced it would cut around 9,000 jobs to reinvest for growth and increase shareholder value.

-- © BNO News All rights reserved 2012-05-25

[jalansanitwong]

With all these people being laid off in the west and rising its probably a good time to invest in Thailands sex industry towns like Pattaya,Hua Hin and Phuket. 100,000 dollars wont go far if youre unemployable in the west.

Come here to live if youre divorced or single.

I wouldnt be surprised if some governments have already figured this out and will restrict pensions being remitted overseas.

I bet it happens. Life wasnt meant to be easy expecially these days.