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  (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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Great comment
By Dr of crap on 9/11/2012 9:11:21 AM , Rating: 2
You've GOT to love how the minds of those that think they know how to run things and the stock markets guys -
This is great -

"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."

Lost a sh$t ton of cash, but the outlook from some stupid new CEO plan to not lose to much more LOOKS good to the analists! GREAT comment! Lets not dwell on the fact that almost 30,000 people will be out of a job!!!! The numbers look good!




RE: Great comment
By retrospooty on 9/11/2012 10:06:03 AM , Rating: 2
Yes, it does sound more than a bit stupid of the analysts, but compared to HP's board of directors, they sound brilliant. Hiring idiot after idiot to run the show for years and years. They deserve what they get. Too bad so many have to lose their jobs because of it.


RE: Great comment
By Mitch101 on 9/11/2012 11:46:35 AM , Rating: 2
Cutting the board at the top would probably have saved those jobs but the fat at the top is thick. Dollar wise probably even.

Getting let go might not be a bad thing the ones they keep might go down with the sinking ship.


RE: Great comment
By Samus on 9/11/2012 1:51:16 PM , Rating: 2
When I read this yesterday I couldn't help but think to myself "what is Romney going to do to get jobs like this back?" and this morning I heard it on the radio.

He wants to give them tax incentives, all of which promote outsourcing. Sure, HP will be hiring again, just not here, and at the taxpayers expense. Brilliant!


RE: Great comment
By Ringold on 9/11/2012 2:33:49 PM , Rating: 2
That's a tricky issue; what tax credits specifically, and how do they encourage outsourcing versus investment in general?

Another point: Why does this country fixate on the menial labor assembly-line jobs of the 70s? Our own manufacturers have even moved on, evidence being that they can't find qualified labor emerging from universities, just a sea of liberal-arts majors and not enough 2 year technical grads.

And why should Romney care specifically about HP? HP's woes are largely down to dumb mistakes. Is the US going to outlaw idiots? Are we going to give up the whole charade of freedom and mandate IQ tests for anything above the menial labor jobs you pine for?

And final point: What's Obama going to do, another GM-job, toss them some money, unionize them, and take a huge ownership stake? That's what we need. Government-built computers. They'll sell like hotcakes.

Some companies die, others are born, others grow, and the economy does best when the government doesn't try to fixate on each and every occurrence like France does.


RE: Great comment
By Nfarce on 9/11/2012 3:00:32 PM , Rating: 2
quote:
Our own manufacturers have even moved on, evidence being that they can't find qualified labor emerging from universities, just a sea of liberal-arts majors and not enough 2 year technical grads.


All the graduates with useless degrees the colleges and universities are spitting out is a big problem I've seen up close: a relative owns a metal fabrication company and can't find enough skilled machinists to hire...at any price. I've heard similar stories about people in the plumbing and HVAC business as well. You can make a mighty fine living in a skilled trade (let alone the potential to own your own business and really rake it in).

quote:
What's Obama going to do, another GM-job, toss them some money, unionize them, and take a huge ownership stake? That's what we need. Government-built computers. They'll sell like hotcakes.


Yep. Because the Volt is such a huge success story with GM now losing $49k on every purchase. But hey, many people believe that the government should mandate what the market will be, not the demand or the consumer.


RE: Great comment
By Ringold on 9/11/2012 10:49:03 PM , Rating: 1
quote:
a relative owns a metal fabrication company and can't find enough skilled machinists to hire...at any price. I've heard similar stories about people in the plumbing and HVAC business as well. You can make a mighty fine living in a skilled trade (let alone the potential to own your own business and really rake it in).


I've seen that first hand too, until recently I worked closely with some construction companies. Welders, for whatever reason, are in seriously short supply around here too. I've seen job postings stay up for months, some manufacturers up north report vacancies lasting over a year before finding someone that can efficiently figure out and operate CNC machines and the like.

What's even more amazing is Democrats sticking their heads in the sand over it, absolutely refusing to hear it. It should be a change to leverage their support in the education sector to bring about reform to address the issue, so its a missed opportunity for them politically IMO by pretending it doesn't exist.

It's not likes it even hard to understand; has a photography major graduate probably ever, in their lives, been in that sort of production environment? Do they know what CNC stands for? Perhaps what SAP software is? Of course not!


RE: Great comment
By quiksilvr on 9/11/2012 10:14:06 AM , Rating: 2
You do realize they bought EDS for nearly $14 billion dollars that year, right? That is the major reason for the major loss. Which means they still made nearly $5 billion in profit (-14 + 5 = -9) if they wouldn't have bought EDS.


RE: Great comment
By havoti97 on 9/11/2012 10:45:57 PM , Rating: 2
And when I buy a camera worth $3000 for my profession, it's not really a "loss", right? The camera that I just bought and walked out of the store is not instantly worth $0. It's still worth, in my mind (and I'm the accountant), $3000. It's not like I took $3000 to Las Vegas and blew it all on craps. That purchase was probably not counted as "loss" by any means.


Personal Computing
By Milliamp on 9/11/2012 4:25:03 AM , Rating: 2
If your business builds personal computers it seems silly not to build something smaller than a laptop in 2012.

I am a desktop guy but computing has changed. People are still buying tons of consumer electronics, they just aren't buying as many traditional PC's.




RE: Personal Computing
By Milliamp on 9/15/2012 3:14:26 AM , Rating: 2
...and 3 days after posting this HP announces a move into smart phones and consumer electronics..


Worst Employer
By Ammohunt on 9/11/2012 9:48:11 AM , Rating: 3
Knowing quite a few people that have worked at HP they happen to be the worst employer its a wonder they find anyone to work for them. Smart companies invest in their work force to develop them as an assest rather than that scuttle them at the first sign of trouble.




HP is going dead
By KOOLTIME on 9/12/2012 3:21:37 PM , Rating: 2
Stupidest thing HP ever did was get rid of Mark Hurd, They get rid of a guy that more then doubles the companies stock price since he came on-board it was under 20 a share and when they ousted him it was around 45 a share.

Now its back to under 20 a share. They out a guy for having a corporate lunch date lol he makes you 10 billion+ dollars and they quibble over a few hundred dollar lunch date haha, stupidity at its finest hour.

If I had a company and someone made me 10+ billion id give the guy an entire harem to date 24-7 if he wanted it lol.
Who cares about personal expense when its low $ level in the few thousands to a guy making you billions, someone has their heads screwed wrong.




HP's new iMac must have been a flop
By Tony Swash on 9/11/12, Rating: -1
RE: HP's new iMac must have been a flop
By retrospooty on 9/11/2012 8:02:02 AM , Rating: 3
Yes, Tony, its all about Apple, always.

Forget that HP has had a decade of piss poor leadership, and even worse descision making... its all about Apple.

You really need a life outside of the Applesphere.


RE: HP's new iMac must have been a flop
By anactoraaron on 9/11/2012 10:41:44 AM , Rating: 2
Actually Tony may be on to something here... I think some of HP's losses stem from all of their printers/etc. supporting a platform used by ~5% of all people... They spend money to test products/compatibility/drivers for that platform that nearly no one will buy said products for... Maybe HP should just drop support for Apple OSX... it would save some money. Or perhaps that is where the majority job cuts will come from... HP's Apple support sector.


By retrospooty on 9/11/2012 11:31:06 AM , Rating: 3
Well, agreed that was dumb... But that was only one of many dumb things.


RE: HP's new iMac must have been a flop
By drycrust3 on 9/11/2012 12:27:10 PM , Rating: 2
If they don't support Mac's, then they definitely won't support Linux distributions, which covers about 1% of users, although you might be able to argue that the majority of servers use a Linux distribution.
Anyway, I think laying off staff is more likely to increase losses than to reduce them. I think the problems start in the board room, and if the board believes it should lay off staff then they should cull some of their own positions too.
My guess is the shareholders won't be able to table questions at the next shareholders meeting.


RE: HP's new iMac must have been a flop
By Tony Swash on 9/11/12, Rating: 0
RE: HP's new iMac must have been a flop
By retrospooty on 9/11/2012 1:44:19 PM , Rating: 2
Oh Apple, Apple, where for art though Apple. What light through yonder window breaks, it is Apple.

I just love Apple so much, I... I... I just cant stand it any more!


RE: HP's new iMac must have been a flop
By Samus on 9/11/2012 1:53:25 PM , Rating: 2
Man Tony, you must have it pretty sweet financially, because last I checked the cheapest Apple PC is $1000 bucks and the cheapest Windows PC is somewhere around $300.

Not everyone can afford the Apple lifestyle.


RE: HP's new iMac must have been a flop
By Tony Swash on 9/11/2012 2:10:38 PM , Rating: 1
Fine - PC OEMs make really cheap PCs - shoddy but cheap. That's OK. But why oh why can't they be more original and just plain better at design? Why is PC culture philistine culture? As an outsider it mystifies me, why don't you guys rise up and demand better stuff? Why settle for third rate design and second rate knock-offs? I suppose if you guys keep eating it the OEMs will keep shovelling it.


By Ringold on 9/11/2012 2:42:10 PM , Rating: 2
To be fair Tony (and I do think you have a point), I think people ARE rising up against the PC OEMs.

They're rising up and buying Apple, according to sales! Not necessarily Apple laptops and desktops, as people already have desktops that are "good enough" for them for now, but they've been buying iPad's like crazy. Might translate to more computer sales down the road.

I'm also that rare troll that objectively can look at the pictures and see plain as day that Samsung was ripping off Apple as best it could in the interface area. PC OEMs have tried the same. Apple's been ahead in more then just design, too; they've been pushing the envelope in displays too. MS and Intel have both been quietly trying to say the same thing you have for many years; look at MS's attempt (Signature, is it?) to remove crapware from new PCs.


RE: HP's new iMac must have been a flop
By retrospooty on 9/11/2012 3:53:47 PM , Rating: 2
"Fine - PC OEMs make really cheap PCs - shoddy but cheap. That's OK. But why oh why can't they be more original and just plain better at design? Why is PC culture philistine culture? As an outsider it mystifies me, why don't you guys rise up and demand better stuff?"

Actually, in the real world, the top quality computer manufacturer, laptop and desktop is Lenovo, 2nd Asus, 3rd Apple. This is regarding failure rates. Lenovo is by far the best in the business.

Yes, there are cheap models out there. Not everyone needs a high end pc to log in a few times a week to check email. Any 5 year old PC or bottom of the line new one will do that just fine.

I know you dont understand it but you can get anything from a high end powerhouse that will smoke any Mac to bits, to a $300 useable PC, to a self built masterpiece. Its called options, and its a good thing.


By KamiXkaze on 9/11/2012 7:16:36 PM , Rating: 2
PC buyer's has one thing Apple don't have options. Which is why HP is having problems. PC buyers could either buy from OEMs or build there own. In Apple case what you see is what you get.

kXk


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.


“So far we have not seen a single Android device that does not infringe on our patents." -- Microsoft General Counsel Brad Smith














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