Bush economy keeps humming along - HP to cut 1,300 jobs

[protect freedom impeach bush now]

HP to cut 1,300 jobs
That "Bush Economy" just keeps on giving,
giving Americans NO JOBS !!!!!


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HP to cut 1,300 jobs
Pallid quarter falls short by $100 million
Carrie Kirby, Chronicle Staff Writer
Wednesday, August 20, 2003
2003 San Francisco Chronicle | Feedback


URL: http://sfgate.com/cgi-bin/article.cgi?f=/c/a/2003/08/20/BU245383.DTL



Hewlett-Packard announced Tuesday that it will cut an additional 1,300 jobs after missing Wall Street expectations for its third-quarter earnings.

The disappointing quarter, in which sales fell $100 million below expectations, came after a rosy second quarter that many took as a happy ending to HP's 2002 acquisition of Compaq Computer.

more.............

[hatrack]

1. Feel that momentum? Feel that surge of renewed confidence?

Boy, I sure did.

Need to cut down on the Romilar with codeine, I guess.

[RUMMYisFROSTED]

7. Or at least pass it around.

[TahitiNut]

2. Fewer California jobs; more overseas jobs.

From the article ...

The 1,300 jobs to be eliminated this quarter will primarily come from enterprise systems and HP's consulting group, said Chief Financial Officer and Executive Vice President Bob Wayman. About 900 of a previously announced 3,500 layoffs will also take place in the fourth quarter, he added.

The company, which employs about 141,000 people worldwide, did not say where the job cuts would be made. In addition to reducing its workforce, HP is cutting costs by expanding its service centers in India, the Philippines, Poland and other places where labor is cheaper.

When they talk about a net loss of 1,300 jobs and also talk about expanding operations in foreign countries, you can bet your bottom unemployment compensation dollar we're talking about quite a bit more than another 1,300 jobs being lost, all in the US. When HP talks about "enterprise systems" and their "consulting group" they're talking about US operations, mostly in California and Oregon.

The left coast takes in the ear again!

[htuttle]

3. That's not humming...

It's more like a scraping, shuddering sound.

[Snellius]

4. Carly Fiorina is going to ruin that company.

HP's take over of Compaq made about as much sense as AOL taking over Time-Warner. These mega-merger CEOs have completely lost sight of what they're producing and the creative spirit of geniuses like Hewlett and Packard who gave birth to it.

[screembloodymurder]

5. Don't you know?

It's a "jobless" recovery. Why hire when you can get more out of your existing employees. Just make em work longer hours. Bush took care of the overtime pay.

[gratuitous]

6. Whatchoo talkin' about?

Halliburton's earnings are way up over last year!

[depakid]

8. "after missing Wall Street expectations for its third-quarter earnings"

That about says it all.

Layoffs boost stock prices and short term profits, but often hurt companies like HP in the long term, because they lose their investments in "human capital." Honest economists and most management consultants will tell you this, but unforunately, Wall Street and executive greed fuels a foolish rush to remove salaries and benefits to make the numbers look good quickly.

There's a pretty good article on the issue in About.com (of all places).

[tsipple]

9. IBM Having Some Layoffs, Too

Primarily in the microelectronics section.