HP eliminates 2,000 jobs in an effort to save an additional 300 million dollars by the end of its fiscal year 2025.
HP is cutting 2,000 jobs worldwide. Since November 2022, HP has been undergoing a major restructuring. At that time, the company put 6,000 jobs at risk. In total, HP will have dismissed approximately 9,000 employees since the start of cost-saving measures 2.5 years ago.
Good Quarterly Results
HP still employs about 58,000 workers, spread across 59 countries. It is unclear how the layoffs will be distributed. The announcement comes after rather good quarterly results for HP, in which revenue for the quarter was higher than anticipated. HP made a profit of 565 million dollars during that period, which was a decrease from 622 million dollars a year earlier.
HP further indicates that there is a good demand for the company’s products. The end of support for Windows 10 likely plays a role in this. Also, the large quantities of laptops purchased by companies at the start of the pandemic are gradually due for replacement.
Tariffs and Trends
Despite the positive outlook, HP must also be cautious. The American company will likely feel the impact of import tariffs that President Trump wants to impose in the coming months, and the trade wars he will unleash with virtually all traditional American partner countries as a result.
Layoffs are in fashion at large technology companies. Dell Technologies laid off 12,500 people last year and Intel parted ways with 15,000 employees. The major restructurings in the technology sector are also being felt in our country. According to Agoria, 5,000 jobs have been lost in our country in the first three quarters of 2024.