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Comment Creative headcount reduction program (Score 2, Informative) 238

Remember that HP is attempting (and succeeding VERY well) a huge cost-cutting effort. One of the largest efforts in this attempt is the effective reduction of headcount by around 10%. This effort (end to telecommuting for IT) is targetted at about 1500 (1%) employees. Many are biting the bullet and moving. Some have been able to locate new postions within the company. A very large percentage will leave HP. Most of the 1500 employees effected have been with the company a very long time. Most were with HP during the internet boom when the company was doling out multiple raises in a year in an attempt to keep talent while dot coms were very attractive. Thus, these employees are making FAR TOO MUCH money and it whacks HP's ability to reduce IT expenses to the desired target level. Once the "expensive" headcount is out-of-the way, there may be a return to normalcy. Don't be surprised, however, to see the tactic used in a few other of the companies areas. I'd be willing to bet on a return to "normal programming" in 24 months. Occupancy rates will become more important. Benefits related to fuel costs will attract talent coming out of education. Most remaining US-based IT employees (project managers, architects, technical leaders) do not work with other IT professionals. They work with business teams who report to other organizations for brief periods for a project. They then move to other projects and business teams. Ither IT professionals (developers, administrators) will be outsourced. So, to the current HP employee, I suggest patience and acceptance. For those that can (lots of years, but not enough to retire), consider split residence. The $2K per month may turn into an investment if you only have to do it 18 months. It's hard! Sorry for the ramble.

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I think there's a world market for about five computers. -- attr. Thomas J. Watson (Chairman of the Board, IBM), 1943