Monday, September 15, 2008

HP To Cut 24,600 Employees

Palo Alto-based HP said Monday that it will cut up to 24,600 jobs as part of its acquisition of EDS, saying that it has identified "synergies" in corporate overhead including real estate, IT, and procurement. According to HP, the restructuring will take place over three years, with roughly half of the reductions occuring in the United States. The disclosure came as part of the firm's plans to integrate EDS. HP acquired EDS in May, in a $13.9B deal. HP said the cuts are expected to save the firm approximately $1.8 billion in annual cost savings.