HP Invent...: HP's Salary Cuts Forcing Out EDS Employees in the US

August 06, 2009

HP's Salary Cuts Forcing Out EDS Employees in the US

"...Employees were prepared for salary cuts between 2 1/2 percent to 5 percent. Last Feburary, former EDS employees had their salaries sliced by hp by 2 1/2 percent. In April, more cuts with salaries slashed another 10 percent, that 10 percent figure was restored a month later but the email received by the employee this time indicates nothing surgical in the wage cut.

"My pay is being reduced a total of 29 percent, 20 percent effected Sept. 1, the additional 9 percent effective Sept. 1, 2010," the man said. That's nearly a 32 percent salary cut for one employee in two years time -- more than one-third of his base salary. The cuts push him back to the salary he earned working the same job in the same building more than 10 years ago. Other former EDS employees said that under Hewlett Packard, they've experienced salary cuts of between 10 percent and 47 percent.

A spokesperson for Hewlett Packard said not all former EDS employees face wage cuts and that the salary realignment," enables hp to effectively drive its pay for performance strategy with a consistent job-based foundation for rewards, development and organization planning," said an hp spokesperson...."

http://www.nbcphiladelphia.com/news/tech/HPs-Huge-Salary-Cuts-Forcing-Out-Old-EDS-Employees-52485672.html

See also : EDS workers face more pay cuts

2 comments:

hpwf said...: and others are giving money back...

"Dear Mark

After checking the eAward that HP gave me "...as a token of HP's appreciation of your contributions to the company's success..." I sincerely got speechless.

In fact, after 10 years of service, getting an award of € 84,00 is simply offensive.

Since your latest activity has been to cut compolsively all benefits that in the pass made HP one of the best places to work, I suggest you to keep this € 84,00.

Life thaught me that, in difficult times, people should work hard to stick together.

This kind of actions do not contribute for that purpose at all.

Regards"; 2:50 AM, August 06, 2009
Anonymous said...: This piece of news is simply disgusting.
Referring to the article on nbcphiladelphia.com, the hp spokesman is a miserable man. Salary or bonus is not apples and oranges, its always $$$.
When the top exec reduces 20% of the salary-apple, and others down the ladder are forced to -30% or -35% of the salary (but diet on bonus-orange, of course !), this is sounding very much "old regime".
Beware HP mgt and the like. This looks like perfect seeds for revolution. Look back in history : when the middle-class is out on the street, high society should better be changing something !; 10:16 AM, August 06, 2009

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I leave you now HP

They say the "lights will still go on at HP" without me here. I wonder who will miss the love I have given this company, I wonder who will miss how much I cared about The HP Way. I often chose to come in early, work through lunch and stay late. I thought what I was doing was so important. Especially when it was for customers or when it was something so new, What we were doing would change the world. But the times I was the most selfless, was for my co-workers who needed me. Maybe it was to review a document, give feedback, change the code, whatever... This is what I will miss most, knowing that I was important to my co-workers. I will miss the lifelong friends I have made We had so many days of meaningful work together. We made a difference and we knew it. We understood the power of a team. I will miss that where ever I went in the world, I always found great HP people. People who cared as much as I did. People who loved our HP culture enough to keep it precious. These are the great HP people who shared in success And when times were tough were the first to say, "We'll get through it together". I will miss the picnics and the beer busts. But mostly I will miss the managers who believed in me, who challenged me, who told me that I was a leader and important to the business. I will miss the profit sharing checks. Not for the money but because I knew I was a part of something so much greater than myself. I will always remember the handshake and the "Thank you" of the general manager. Those were some of my favorite times. I will miss the laughter and excitement of creating new businesses and improving processes. I will miss the serious times when customers' needs were on the line. We were all engaged for one purpose. It was our finest hour. I will miss saying I helped create a great HP product. And now will relish in how it changed the world. I wouldn't have missed that for anything. How proud I am to have been an HP employee. I would have worked for free for you HP. I loved you that much. You should know that I cried when Bill and Dave died. I had finally figured out what values really mean to a company's culture. My only regret is I didn't have a chance to say thank you. I'll take that learning with me as a final gift of all the years, of the great company Bill & Dave built. I leave you now HP.