Computer and printer maker, HP, on Friday announced plans to cut between 7,000 and 9,000 jobs as part of a restructuring initiative.
The planned job losses would reduce the company’s global workforce by about 16 per cent.
HP hopes to make annual savings of around one billion dollars by cutting jobs and through other cost-cutting measures, a statement from the company said.
However, the restructuring is expected to be costly in the short term with the company forecasting one billion dollars in related costs by the end of the 2022 fiscal year.
HP said in 2018 that it employs 55,000 people. The company did not give an updated figure in its latest release.
The company has already reduced its workforce in recent years as part of a cost-cutting drive. In mid-2018, it announced that 4,500-5,000 positions would be cut.
HP is struggling with the dwindling market for desktop personal computers and printers, although it has staged something of a recovery recently.
Since the breaking up of Hewlett-Packard in 2015, HP has run the hardware side of the tech dinosaur’s business.
The company is also undergoing upheaval at management level with chief executive Dion Weisler set to hand over the reins on November 1 to Enrique Lores, a long-serving HP manager.