Financial News

  • 25 May 2014, 16:28

Hewlett-Packard To Cut Up To 16,000 More Jobs

Hewlett-Packard (HP) is to cut up to 16,000 jobs worldwide, after 11 quarters in a row of declining revenues.

The announcement was made after the IT giant's latest results were released unexpectedly before markets closed in the United States on Thursday.

Shares in HP fell 2.3% on the news of revenue falling.

Sales were down in the latest quarter by 1%, to $27.31bn (13.7bn), which was below analysts' expectations.

Between 11,000 and 16,000 jobs are to be lost, on top of the 34,000 cuts that were announced in a May 2012 restructure plan.

Last December, HP announced it would slash 1,100 jobs at three of its UK sites in the first quarter.

Chief executive Meg Whitman, the former boss of eBay, has struggled to turn around the fortunes of the firm.

The firm is under pressure amid a global decline in PC sales and growing demand for laptops and greater tablet use.

The company said in a release that the increased cuts come "as HP continues to re-engineer the workforce to be more competitive and meet its objectives".

HP said net income in the second quarter, to April 30, was up 18% to $1.27bn (750m).

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