Image source: Seeking Alpha
HP Inc. joins most of the tech giants in making a significant change to their operations with downsizing plans over the next few years.
On Tuesday, the company announced it would downsize over the next three years.
Thousands of employees will leave the company.
As a result, HP becomes the latest technology company to drastically reduce its workforce in the deteriorating economic climate.
HP recently announced its workforce reduction plan.
Additionally, the company released a statement on Tuesday afternoon to accompany the company’s lackluster earnings report.
Meanwhile, the report shows sales are down more than 11% from the same period last year.
“The company expects to reduce global headcount by approximately 4,000-6,000 employees,” HP wrote.
“These actions are expected to be completed by the end of fiscal 2025.”
The company previously had approximately 51,000 employees worldwide.
President and CEO of HP Inc. Enrique Lores said the “Future Ready Strategy” will be critical to the company in the long run.
According to Lores, this allows HP to improve its service to customers.
The strategy will also drive long-term value creation through cost reductions and reinvestment in key growth initiatives.
Both measures help better position HP for the future.
Read also: Amazon plans to cut down company workforce
HP’s downsizing decision joins a list of once high-flying tech companies cutting jobs and announcing a hiring freeze.
Facebook’s parent company Meta has announced it will also downsize by cutting 11,000 jobs.
Amazon confirmed that mass layoffs had already begun last week.
Additionally, the e-commerce giant said it would continue to downsize in the coming year.