Giant computer maker HP to cut 24,600 jobs

September 16th, 2008 - 4:50 pm ICT by David M N James  

Giant computer and computer accessories maker, HP is poised to cut about 24,600 jobs.

The company well known as Hewlett Packard is dubbed American technology giant is going to cut the jobs within an international perspective. This will be effective over a period of the next three years so as to allow the company integrates with computer services firm Electronic Data Systems. The company has a huge presence in Ireland where it has employed over 4000 people in locations which include Leixlip, Dublin, Galway and Belfast.

There are no set figures for each country where HP has employees and this is worrisome. HP recently bought Texas-based business services outsourcing titan EDS in August as part of a $13.9 billion deal that aimed to create a global powerhouse in computer services to compete against IBM which boasts of an immense market share globally.

The job cut program is aimed at streamlining the combined company’s services businesses so as to attain an annual cost savings of approximately $1.8 billion. Besides, the job cuts will help the tech firm to restructure the EDS business group to streamline costs, invest in growth and drive shareholder value. The company hinted that merging resources with EDS is part of an ongoing evolution from a computer hardware company to a firm that combines hardware, software and services. The company has an employee base of up-to 320,000 worldwide. The cut also aims at getting rid of redundant’ positions in departments such as accounting, human resources, and legal. In the process, the company will hire 12,000 engineers in a period of the next three years.

Related Stories

Tags: , , , , , , , , , , , , , , , , , , ,

Posted in Sci-Tech, Technology Industry News |