HP is planning to trim its workforce by about 8% as it continues to struggle with a sluggish demand for personal computers and printers.
The company expects the job cuts to generate about $200m to $300m in annual savings, but they are expected to cost up to $500m in charges.
In its 8K filing, HP said: “The changes to the workforce will vary by country, based on local legal requirements and consultations with employee works councils and other employee representatives, as appropriate.”
The company recently issued a lower-than expected revenue forecasts for next year. The forecasts estimate earnings per share to be in between $1.55 and $1.65 per share.
The company plans to sustain its business by producing high-end PCs, office printers and 3D printing systems.
At present, HP employs more than 50,000 people at several locations globally.
In 2015, Hewlett Packard split into two companies. While HP Inc is selling PCs and printers, Hewlett Packard Enterprise is selling software applications and cloud storage services for enterprises.
Even before the split took place, HP announced job cuts between 25,000 and 30,000 as part of cost savings under a restructuring drive.
Majority of the job cuts were expected to take place in the enterprise business.
Since 2012, the company had laid-off more than 55,000 people. Even after the split, both the companies have been laying off employees. It is estimated that the combined company employed up to 300,000 people at one point.
Research firm Gartner recently said PC shipments had fallen by 5.7% in the third quarter of 2016, compared to same period in 2015.
