Categories: Tech

HP sacks 6,000 workers to boost operations

HP has announced that it will cut between 4,000 and 6,000 jobs globally by fiscal 2028 as part of a plan to streamline operations.

HP said the job cuts will also help to adopt artificial intelligence to speed up product development, improve customer satisfaction, and boost productivity.

CEO Enrique Lores said during a media briefing on Tuesday that the company’s teams focused on product development, internal operations, and customer support will be impacted by the job cuts.

“We expect this initiative will create $1 billion in gross run rate savings over three years,” Lores added.

Apple to sack managers, other workers

The company laid off an additional 1,000 to 2,000 employees in February, as part of a previously announced restructuring plan.

Demand for AI-enabled PCs has continued to ramp externally, reaching over 30% of HP’s shipments in the fourth quarter ended October 31, according to Reuters.

Morgan Stanley analysts warned that a global memory chip price surge brought on by rising demand from data centers could push up costs and pressure profits at consumer electronics makers such as HP, Dell, and Acer.

The Star

Segun Ojo

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