Hewlett-Packard to cut 5,000 more jobs

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HEWLETT-PACKARD said it would cut 5,000 more jobs, bringing the total number of lay-offs to 34,000, or 11 per cent of its workforce.

The company said in a regulatory filing that it would record a charge of $4.1bn in 2014, up from its prior estimate of $3.6bn.

HP is striving to get back to growth through job cuts and focusing on businesses with longer-term potential.

HP had estimated that it would cut about 29,000 jobs through fiscal year 2014, including 1,100 in Britain.

The company had about 317,500 employees as of October 31.

Meg Whitman, HP’s third CEO in four years, is steering the Silicon Valley giant through a years-long restructuring since inheriting in 2011 a company shaken by board changes, executive departures and fluctuating strategic decisions.

She gave up her symbolic $1 salary and now draws an annual base salary of $1.5m, reflecting the 93 per cent rise in the company’s stock so far this year.

Investors have credited her for bringing much-needed stability to HP, which she is trying to turn around through lay-offs, cost cutting and expansion into fast-growing markets such as enterprise computing.

The company employs between 15,000-20,000 people in
Britain.

Meanwhile, cosmetics manufacturer Revlon has announced plans to quit China and said it would cut 1,100 jobs.

The firm said the cuts would save around $11m a year.