Hewlett-Packard has been laying off its staff for a long time now. The first major lay-off happened in 2002, and it has been 11 years since it has been facing these issues. With the count going to its highest in 2012-13, approximately 29,000 employees, the question arises as to whether this ten year run can end soon. The main cause of this issue has been the decision to buy companies which were not worth the price paid. A wrong decision by the CEO, and the lower end employees lose their jobs!
There are various possible solutions for minimizing this lay-off issue. The company could give more attention to the recruitment of the higher-end employees, as there have been five CEO’s in eight years for the firm. A good higher level employee would remarkably help the company stabilize. It could also negotiate the pay with the employees. Employees might prefer lower salary over no salary. This would reflect highly of the organization’s culture as well, as it shows that the company is determined for its employees’ job security. However, achieving this seems tough as HP’s CEO, Meg Whitman, has clearly stated that it will have another major lay-off in 2014 and from then on, it will not have lay-off issues. Hopefully, the company will keep its word and gain stability after all!
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