Hewlett Packard will cut another 30,000 jobs during split
As it continues the process of splitting itself into two distinct companies, Hewlett-Packard has announced that it'll fire between 25,000 and 30,000 more employees. That figure is believed to be on top of the 55,000 roles that were earmarked for the door when the plan was announced last October. If you're not caught up on the news, here's the tl:dr version: the ailing hardware maker is becoming two smaller firms in the hope that it can survive in a world that no longer loves the PC. Hewlett Packard Enterprise will produce software, services and servers for the business crowd, much like IBM, while HP will take over the personal computing and printer divisions.
The firm is bullish that it's going to come out of this transformation all the better for it, with the company saying that HPE (as it'll be known) will earn $50 billion in annual revenue. That may not be in line with the reality of the situation, however, since Reuters points out that its enterprise division saw an 11 percent drop in sales during the latest quarter. Bloomberg Intelligence analyst Anand Srinivasan piled on, telling Bloomberg that "the solution to revenue growth is not going to come from restructuring actions." No-one should mention that to Meg Whitman, however, as the deal's probably too far down the road for anyone to change it, now.
[Image Credit: Bloomberg via Getty]
