DailyTech - HP Increases Job Cut Forecasts to 29,000

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Gadgets HP Increases Job Cut Forecasts to 29,000
Tiffany Kaiser - September 11, 2012 2:40 AM

26 comment(s) - last by Milliamp.. on Sep 15 at 3:14 AM

(Source: Bloomberg)

The previous forecast was 27,000

Hewlett-Packard (HP) upped its number of job cuts to 29,000 globally -- 2,000 more than the computer maker previously forecasted.

Back in May, HP predicted that it would cut 27,000 jobs around the world in its new restructuring plan dubbed the "2012 Plan." Now, HP has adjusted that figure and plans to cut 29,000 jobs.

The latest figure was reported in HP's 10-Q quarterly filing with the U.S. Securities and Exchange Commission (SEC). HP plans on saving $3 to $3.5 billion by eliminating these jobs, which it will put toward Research and Development (R&D). As of July 2012, HP had already cut 3,800 jobs.

The filing noted that HP predicts charges of about $3.7 billion through the end of fiscal year 2014. About $3.3 billion of this will be the job cuts while another $400 million will be related to other areas like data center consolidation.

HP has had a pretty terrible time as of late. It had a terrible experience with former CEO Leo Apotheker, who was appointed in October 2010. Apotheker led the company to several missed financial goals and even tried to sell HP's core personal computer business.

HP then killed off its webOS mobile operating system and its TouchPad tablets last year due to overproduction, sloppy execution and slow hardware releases.

Just last month, HP suffered an $8.9 billion USD loss. However, analysts were impressed by the new restructuring plan by new CEO Meg Whitman.

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RE: HP's new iMac must have been a flop

By FITCamaro on 9/11/2012 2:34:42 PM , Rating: 2

You mean, at least with their laptops, how Apple is largely copying the designs of Sony machines from 10 years ago. Sony built slim, light machines a decade before Apple ever did with a wedge shape design. They just weren't as thin and light due to technology.

But hey Apple invented it and deserved a patent on the shape of the Macbook Air.

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