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Union angered as HP keeps contractors on board, but axes employees
Posted Jul 7, 2010
Hewlett-Packard is to lay off a further 934 workers, with further cuts possible. The company still retains 2000 contractors, which the Unite union says "adds insult to injury".
The technology giant announced the cull as part of the company's plans to cut 9,000 jobs worldwide. Further cuts to its 16,500 UK workforce are expected in the next financial year.
The Unite union has condemned the cuts, and says it is concerned about the continued off-shoring of the UK's knowledge economy - particularly as it says such jobs evolved as a consequence of the demise of the manufacturing sector.
Peter Skyte, Unite national officer for IT and communications, said: "This is a further cull by HP of its skilled and experienced UK workforce, and follows nearly 4,000 jobs being cut over the past two years since the takeover of EDS by HP.
"This will create further insecurity and uncertainty in HP with the threat of yet more redundancies to come, and undermines the coalition government view that the private sector will fuel job growth out of the economic recession."
During times of cost-cutting, contractors can often benefit - as they provide short-term staffing solutions, without the associated costs and responsibilities of permanent staff. However, Unite do not agree:
"The fact that the company still retains nearly 2,000 temporary staff and contractors merely adds insult to injury." added Peter Skyte.
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