HP to cut 6,000 jobs, 10% of global workforce, amid decline in computer sales

Joining the bandwagon of global tech firms laying off employees, HP Inc has announced that it will slash around 6,000 jobs, which is 10 percent of its global workforce, over the next three years.

The company has said that declining sales of personal computers have cut into profits, forcing it to resort to cost-saving measures, according to media reports.

The forecast assumes a 10 percent decline in computer sales in the fiscal year, HP Inc Chief Executive Officer Enrique Lores said in an interview. “We expect a challenging market environment,” he said.

According to HP’s statement, the plan should save as much as $1.4 billion annually by the end of the fiscal year 2025.

In recent weeks, several global tech companies have announced their plans to layoff staff in order to tide over the rising cost pressure amid challenging economic conditions. Meta Platforms and Amazon announced laying off about 10,000 workers, and Twitter eliminated more than half of its over 7,000 employees.
Google, which managed to avoid the trend of job cuts across different sectors till now, is now planning to ease out 10,000 employees through a new ranking and performance improvement plan. This is due to pressure from an activist hedge fund, adverse market conditions and a need to cut costs, according to a report in The Information.
Networking giant Cisco is reportedly sacking over 4,000 employees, or about 5 per cent of its workforce, as part of a “rebalancing” act to rightsize certain businesses.
As many as 1,36,989 employees have been laid off by 850 companies including tech majors like Amazon, Twitter and Meta so far in 2022.

.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button