Now HP announces massive layoffs worldwide: it will lay off between 4,000 and 6,000 employees

Now HP announces massive layoffs worldwide: it will lay off between 4,000 and 6,000 employees

The HP company has announced a wave of massive layoffs for the next three years: between 4,000 and 6,000 people will leave the company

The HP company has joined the wave of layoffs that companies related to technology are making. The company, which is one of the world’s largest computer makers, announced this week that it will lay off between 4,000 and 6,000 of its employees over the next three years.

With this decision, HP joins the decision that other renowned companies have made in recent days, such as Meta, which manages Facebook, WhatsApp and Instagram, Amazon and Twitter.

Speaking specifically about its motives, HP argued that the decision was due to a decline in PC sales. And it is that although at the beginning of the Covid-19 pandemic there was a frenzy of people to buy new computers that would help them adapt to the home office modality, this growth was not maintained for the following months.

That is why they decided to activate their “Future Ready transformation plan” with which they seek to achieve annualized gross savings of the execution rate of $1.4 billion dollars or more in the next three years, with about $1 billion dollars in costs, including the restructuring of the company.

“Of that $1 billion, $600 million will come in fiscal year 2023, which ends October 31, 2023. The remainder will be split equally between fiscal years 2024 and 2025,” HP said in a statement.

It’s not the first time HP has made a massive cut of such magnitude. Beyond the year 2019, HP announced the dismissal of between 7,000 and 9,000 employees. By 2021, the computer company had around 51,000 employees.

To sustain its new wave of layoffs, HP said revenue for the fiscal fourth quarter, which ended Oct. 31, fell 0.8% year-over-year to fall $14.8 billion.

“Revenue in the personal systems segment, which includes PCs, fell 13% to $10.3 billion as units fell 21%. Consumer revenue in the segment fell 25%. Print revenue, at $4.5 billion, fell 7%, while units fell 3%,” HP said.

Melissa Galbraith
Melissa Galbraith is the World News reporter for Globe Live Media. She covers all the major events happening around the World. From Europe to Americas, from Asia to Antarctica, Melissa covers it all. Never miss another Major World Event by bookmarking her author page right here.