Business

HP Announced To Cut More Than 9000 Jobs

As a result of the restructuring plan, HP decided to cut jobs in the upcoming months. On Thursday HP announced its restructuring plan which is going to reduce the operating cost of the company by the end of 2020. This restructuring plan is forcing the company to cut in between 7000-9000 jobs in upcoming quarters. HP announced that it’s expecting a fiscal budget for next year, which is the reason they have decided to cut so many posts all over the world. Job cutting is not only limited to North America, but it’s going to affect every office of the company.

The report shows that this new plan is going to help company to save up to $1 billion by the end of 2022. The company as on October 31, 2018, had about 55000 employees, now they are planning to cut the workforce by 13-16 per cent approximately. HP is giving its employees the option of voluntary retirement, and for others, it’s going to be a layoff.

However, this is not the first time when HP announced plans like that because back in 2018, the company said it would layoff in between 4000-5000 people in 2019. As of now no official reports published by the company. However, such type of massive layoffs means that the company is going to cut some of its services/products. CFO of HP said that whatever the saving would arise from this layoff is going to be used at back-office services. A company usually takes this decision to make investors happy since profits get increased whenever operation cost goes down. CEO Enrique Lores said that HP is overall positive about this decision since it’s going to create some significant changes for the company and its investors. However, this news is going to bring some sad news for HP’s employees.

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