Palo Alto headquarterd Hewlett-Packard announced today plans to lay off 27,000 employees as part of its long-term restructuring plan.
The company will shed about 8% of its workforce through a combination of layoffs and retirement offers that started last October and will continue through the end of its 2014 fiscal year.
Employee reduction plans vary by country. While HP operates 28 offices across Canada, it is not clear what impact the layoffs would have in Canada yet.
The restructuring program is expected to save US$3 billion to $3.5 billion through fiscal year 2014. CEO Meg Whitman plans to reinvest the savings into the three strategic pillars—cloud, security and information optimization.
News of the cutbacks overshadowed the release of HP’s latest quarterly results. The company’s earnings and revenue were both better than analysts projected.
Whitman sent a company-wide video message explaining the future of HP to employees and TechCrunch will be posting it online soon.