Hewlett Packard Enterprise CEO Meg Whitman plans to axe the company’s workforce by another 10 percent in a bid to cut costs as the IT behemoth is hit by increasing competition and higher component prices.
The cuts, which will trim about 5000 jobs, are to start by the end of this year and could be the portent of more to come as HP Enterprise continues its HPE Next, a three-year plan announced in June to take out $1.5 billion in gross costs and shift resources toward areas such as research and development.
Hewlett-Packard had about 350,000 workers when CEO Meg Whitman took the helm in 2011. HP Enterprise today has about 52,000, after several huge spinoffs and tens of thousands of layoffs.
The latest layoffs are part of a separate plan to cut $200 million to $300 million in costs.