HP
will slash a further 1,300 jobs from its operations in the United
Kingdom, adding to the 900 jobs it said it would cut by October as part
of a mass global headcount cull.The job cuts continued HP’s withdrawal
from the UK, with the vendor’s main union, Unite, noting that the latest
round of cuts brought its total to 4,000 over the past two years.”These
job cuts mainly involve the export of jobs to HP locations outside the
UK,” the union said in a statement Monday, suggesting the jobs would go
to India.
The cuts were part of its plan to “transform HP’s
enterprise services” business, HP said in a statement issued to local
media.Unite said that its Indian arm – Unite of India – was also
launching a “decency at work” campaign in response to pay and benefits
cuts leading to increased stress.”IT employees in India are complaining
about the stress caused by tremendous pressure to live up to
unreasonable targets and deadlines,” Peter Skyte, Unite national
officer, said in a statement.
The cull came as the UK Government
signaled that it may audit government IT contracts valued over 100
million pounds following a scathing review released yesterday by Top
Shop owner, Sir Philip Green.HP became one of the UK’s largest IT
service suppliers after it acquired Texan IT services giant Electronic
Data Services (EDS) in 2008.
According to UK government
technology news site, Kable, HP inherited an EDS contract with
Department for Work and Pensions that netted it £656.9m (AU$1.05
billion) last financial year.HP told investors in June that it would
slash 9,000 jobs from its global workforce of 340,000 in the hope of
generate between US$500 million (A$596 million) and US$700 million
(A$835 million) in net savings by the end of fiscal 2013.
While
HP has revealed job cuts in Europe and the US, the company remained
tight-lipped on Australian losses.However, staff at HP’s Australian
services division – formerly EDS – have alleged that cuts numbering the
hundreds were being made, while the company confirmed it was cutting
salaries as part of its integration of EDS.