HP to layoff 27,000 employees to boost profits

NEW YORK: Hewlett Packard will layoff about 27,000 employees over the next two years as part of restructuring to boost declining profits and revenues. "As part of the restructuring, HP expects approximately 27,000 employees to exit the company, or 8 per cent of its workforce as of October 31, 2011, by the end of fiscal year 2014," the company said in a statement.

HP, which has more than 300,000 employees across the world, has been struggling with demand of PCs and printers.

The workforce reduction would generate an annual savings in the of range of $3-3.5 billion by the end of the 2014 fiscal year.

The job cut will include an early retirement programme and "workforce reduction plans will vary by country, based on local legal requirements and consultation with works councils and employee representatives."