Hewlett Packard Enterprise to layoff 5,000 staff

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HPE is back in the marketing news, but not for a good reason.

According to a Bloomberg report, HPE is planning to axe about 10% of its staff, or nearly 5,000 workers.

The report also stated that the job cuts are expected to begin before the end of the year and are expected to begin before the end of the year. When the news broke, HP Enterprise was not available to comment.

SEE ALSO: Salary Hikes Set To Go Up Marginally In 2018

Hewlett Packard Enterprise was created in 2015 as a result of Hewlett Packard Co.’s spilt into two companies. HP Inc. sells personal computers and printers, while HP Enterprise focuses on commercial technology services and products.

Before the spilt was finalized, Hewlett Packard said it would reduce its staff by 25,000 to 30,000, with most on the enterprise side of the business.

Hewlett Packard Enterprise layoff

Since those cuts, HP Enterprise has continued to slim down. This month the Palo Auto firm completed a spinoff on its software units.

HP Enterprise is led by Meg Whitman, who was reportedly being considered for the chief executive position at ride-hailing firm Uber after the resignation of co-founder Travis Kalanick. Whitman tried to quash those rumours over the summer, tweeting that there was “a lot of work still to do at HPE and I am not going anywhere.”

Expedia CEO Dara Khosrowshahi accepted the Uber post in August.

Under CEO Meg Whitman, HP Enterprise has been streamlined, shedding much of its Chinese business and consulting division.

But investors haven’t warmed too dramatically to the changes, with shares up just over 2.5 percent in the past year.

Whitman told CNBC in June that Hewlett Packard Enterprise was almost done with “one of the largest transformations in American business history,” and that investors would see fatter profit margins toward the end of this year.

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