Huge job cuts rumored to be looming at Hewlett Packard

By Steve Johnson San Jose Mercury News

SAN JOSE, Calif. — Massive layoffs — potentially amounting to more than 30,000 employees — could be coming soon at Silicon Valley tech-giant Hewlett Packard, according to some analysts and published reports.

“While a difficult decision, in our view, a reduction in force will improve confidence” in HP, Brian Marshall, an analyst with the International Strategy &Investment Group, concluded in a note to his clients Thursday. He had previously predicted that the company would slash its global workforce of about 350,000 by about 5 percent, which would affect about 17,500 employees.

Quoting an unnamed HP source, the online publication Business Insider on Thursday said the cuts could amount to 10 percent or more, totaling at least 35,000.

HP spokesman Michael Thacker declined to comment on the speculation. The company will announce its second quarter earnings on Wednesday.

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