September 08, 2005

HP meets European staff over restructuring plan

Company plans to cut 14,500 jobs worldwide

Hewlett-Packard is meeting representatives of its European employees in Brussels this Thursday and Friday to give them further details of the impact of its worldwide restructuring plan.

The company announced in July that it planned to cut 14,500 jobs over the next 18 months, most of them in central support functions such as human resources, finance and IT. The move will save it around $1.6 billion a year, it said at the time. However, it gave few details about where the axe would fall, and European staff are still waiting to hear.

HP's new chief executive officer, Mark Hurd, has already taken steps to simplify things in the U.S., eliminating the Customer Solutions Group, which sold products from a variety of product lines to enterprise customers.

In Europe, HP's operations form a complex matrix of product lines and national business units -- and Hurd is no fan of matrix management, he told the press during a conference call announcing the cuts in July.

HP managers will address the company's European works council on Thursday to give further information about the plans, company spokeswoman Nathalie Touzain said.

Transnational companies operating in Europe are required by a 2000 European Union directive to set up a Works Council. This is intended to serve as a forum for informing and consulting employees about matters affecting them, such as mergers or restructuring plans.

Because of the diverse labor laws governing HP's European operations, some staff may have to wait much longer than others to know their fate. Staff in France should hear around the middle of this month how many of them will be affected, Touzain said.

Employees at HP France were expected to stop work for an hour on Thursday in protest at the cuts, according to local press reports. However, no one with any knowledge of the matter could be traced for comment at the trade unions said to be leading the action.

 

Close

On Twitter now

Data management

Powered by Twitter

On Twitter now

additional resources
White Paper - How to Improve Delivery of Advanced Web Applications

White Paper

Virtual Workforce: The Key to Expanding The Business While Cutting Costs

Get the independent advice and expertise you need to support a virtual workforce.

Go inside:
The three-step approach to making a virtual workforce a reality.
The four flavors of client virtualization technologies.
The three key initiatives that solve IT challenges.
Download now »
White Paper: Successfully Secure Your Wireless LAN With Wi-Fi firewalls.

White Paper

Addressing Linux Threats Leveraging Fewer Resources

The increase in Linux popularity has increased the frequency and sophistication of malware attacks. Read this 2 page white paper now to learn how you can protect your Linux environment with real-time protection that is certified by all major Linux vendors.

Download now »
White Paper - The 2009 Handbook of Application Delivery

White Paper

The 2009 Handbook of Application Delivery

Ensuring acceptable application delivery will become even more difficult over the next few years. As a result, IT organizations need to ensure that the approach that they take to resolving the current application delivery challenges can scale to support the emerging challenges. This handbook elaborates on the key tasks associated with planning, optimization, management and control and provides decision criteria to help IT organizations choose appropriate solutions.

Download now »
White Paper - Is Your Backup System Outdated?

White Paper

Mid-range Storage Considerations

A common misconception is that mid-range storage requirements are dramatically different than that of a larger enterprise. Mid-range storage users may require less capacity, but they have similar functionality and management requirements. This ESG paper examines mid-range storage needs and reviews a new solution that adjusts size while retaining value, performance and functionality.

Download now »

Today's Headlines: First Look Newsletter

Find out what will be news for the day, with our first-thing-in-the-morning briefing.

©1994-2010 Infoworld, Inc.