Hewlett-Packard, a multinational information technology company, has announced plans to lay off 4000-6000 workers globally over the next two years.
The computer manufacturing firm stated in a press release posted on its website on Tuesday that the layoffs were part of its “Future Ready Transformation Plan” to save money and ensure “portfolio optimisation and operational efficiency.”
The transformation plan is expected to last until the end of the fiscal year in 2025.
“Today, HP Inc. announced a fiscal year 2023 Future Ready Transformation plan, driving significant structural cost savings through digital transformation, portfolio optimization, and operational efficiency,” according to the statement.
“By the end of fiscal 2025, the company expects these actions to result in annualized gross run rate savings of at least $1.4 billion.” The company anticipates incurring approximately $1.0 billion in labor and non-labor costs related to restructuring and other charges, with approximately $0.6 billion in fiscal 2023 and the remainder split roughly evenly between fiscal 2024 and 2025.
“The company expects to reduce gross global headcount by approximately 4,000-6,000 employees. These actions are expected to be completed by the end of fiscal 2025.”
The company’s announcement comes amid a slew of employee cuts in the global tech industry
Following Elon Musk’s takeover, microblogging platform Twitter announced and laid off roughly half of its global workforce earlier this month.
This was quickly followed by an announcement by Meta, the social media giant, that it was cutting 11,000 jobs from its global workforce.
Similarly, Amazon confirmed last week that it has begun the process of laying off 10,000 employees, a process that will last into next year.