Hewlett-Packard Company (NYSE:HPQ) and cosmetic firm Revlon Inc (NYSE:REV) have announced end of year job cuts of thousands of workers.
In its regulatory filing, computer maker Hewlett-Packard Company (NYSE:HPQ) said it would cut 5,000 more jobs than planned earlier.
HP to slash 11% of its workforce
Computer major Hewlett-Packard Company (NYSE:HPQ) said it would cut 5,000 more jobs making the total layoffs 34,000, representing 11% of its workforce. The company had about 317,500 employees as of October 31.
In its regulatory filing, Hewlett-Packard Company (NYSE:HPQ) indicated it would record a charge of $4.1 billion in 2014, up from its prior estimate of $3.6 billion.
The computer major is striving to get back to growth through job cuts and focusing on businesses with longer-term potential such as enterprise services.
Last month it was reported Hewlett-Packard Company (NYSE:HPQ) will lay off 1,124 employees in the U.K. in the first three months of fiscal 2014 as part of the restructuring initiative started in May 2012.
In its last reported quarter (fourth-quarter 2013), HP confirmed that approximately 24,600 people had been laid off since the program started. In fiscal 2013, the company saved approximately $2 billion in labor costs. It expected to save another $1.1 billion in 2014.
Hewlett-Packard Company (NYSE:HPQ) benefited from the restructuring plan as its operating expenses decreased 2.9% year over year in fiscal 2013 due to savings from the labor restructuring initiative and better alignment of costs to revenues.
Revlon plans to leave China
Cosmetic firm Revlon Inc (NYSE:REV) announced its plans to leave China and indicated it would cut 1,100 jobs. The company manufactures cosmetics and hair dye under its name as well as the Almay and SinfulColors brands said the cuts would save the firm around $11 million a year amid declining global sales.
Revlon Inc (NYSE:REV) plans to cut over 15% of its workforce, in the first major action taken by the beauty-products company’s new chief executive.
The beauty products company reported weak demand in China, which accounts for about 2% of its total sales. A company spokesman indicated the exit decision follows after the company made a holistic assessment of operational costs versus opportunities in the market.
Revlon Inc (NYSE:REV) acquired The Colomer Group for $660 million cash in August to expand its brand portfolio.
Following its acquisition of Colomer Group, CEO Lorenzo Delpani joined Revlon November 1.