Hewlett-Packard's recent announcement of a planned mass layoff might be taken as another sign of a troubled Bay Area economy, but what few details there are suggest the job losses -- and the company's prospects -- aren't so bad after all.
- Machines versus Humans: Machines 9,000, Humans 6,000. Those are the numbers of jobs lost through automation versus jobs gained through new jobs in sales (at least until HP develops the SalesBot 6000).
- Gross jobs lost at HP versus net jobs lost: 0.03 percent and 0.01 percent, respectively. HP employs over 304,000 people worldwide.
- What automation and layoffs will cost: $1 billion, according to the company's SEC filing on the matter, which will include data center investment as well as severance packages for those laid off.
- What the company estimates it will save: $1 billion, gross, or $500 million to $700 million, net, annually by 2013 when the layoffs and system upgrades are scheduled to be completed.
- State likely to suffer the worst: Texas, because part of the consolidation of data center services will include the integration of Plano-based Electronic Data Services, which HP acquired in 2008.
- HP's share price at close of trading on Tuesday: $45.58 per share, down 43 cents from its open, but still up nearly ten dollars over the same date last year.
Jackson West once worked as a temp at HP.
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