HP may cut 34,000 jobs by October due to falling PC sales

Struggling with falling PC sales and adverse market conditions, US-based technology giant Hewlett- Packard (HP) expects to eliminate up to 34,000 jobs by October this year as part of its multi-year restructuring programme to cut costs.

The company will incur about $4.1 billion in aggregate charges, which includes severance and other charges.

In July last year, HP had estimated eliminating about 29,000 positions through fiscal year 2014 as part of its restructuring programme, which was started in 2012. However, details on which locations would be impacted by the decision were not disclosed. "Due to continued market and business pressures, as of October 31, 2013, HP expects to eliminate an additional 15 per cent of those 29,000 positions or a total of approximately 34,000 positions," HP said in a filing to the US Securities and Exchange Commission (SEC).

The programme will now cost the company about $4.1 billion in aggregate charges, instead of the earlier estimate of $3.6 billion, it added. "HP expects approximately $3.5 billion to relate to workforce reductions, including the EER programmes, and approximately $0.6 billion to relate to infrastructure, including data center and real estate consolidation, and other items," it said.

The Palo Alto-headquartered firm recorded a charge of about $1.2 billion in fiscal 2013. The company expects to record these charges through the end of HP's 2014 fiscal year. HP follows November-October as fiscal year. As of October 31, 2013, HP has eliminated about 24,600 positions. HP's annual sales have declined from $127.24 billion in 2011 to $112.3 billion in 2013, mainly due to declining consumer interest in PCs and printers.

However, the company has been able to return to profitability in fiscal 2013 with net earnings of $5.1 billion against a loss of $12.65 billion in the previous financial year.

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IIT Kharagpur creates record, more than 1,000 students get jobs

IIT Kharagpur has set a record among all IITs with more than a thousand of its students securing cushyjobs in the first phase of campus placements, officials said today.

Around 1,010 students of the Kharagpur campus accepted job offers in the first round of placements which ended in December.

At IIT Mumbai, there were 900 offers while IIT Delhi got about 750 offers and IIT Kanpur had around 700 offers.

IIT officials said, Kharagpur has achieved a new record with the maximum number of students getting jobs in the IIT system in one phase.

In addition to big names like Google, Microsoft, Oracle, Shell, Deutsche Bank, ITC, Schlumberger, Goldman Sachs, Credit Suisse, Abbott and EXL, start-ups like Flipkart and Housing.com were the ones who made multiple offers in dual figures.

The highest package offered was from a US-based company which has signed an IITian for an annual salary of USD 1.25 lakh (around Rs 77 lakh).

The highest domestic package was of Rs 37 lakh. Two new dual degree programs - Financial Engineering and Engineering Entrepreneurship - proved to be a big hit with 85 per cent students from those courses being placed.

"The programs not only demonstrated acceptability by the industries, but projected the vision of IIT-Kgp for launching novel initiatives," said Prof Sudhir Kumar Barai, in-charge of training and placement, of the institute.

The number of companies offering placements have also increased this year with 195 organisations coming this time.

Barai said another 79 engineering students have accepted pre-placement offers from other companies.

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New Year cheer: 8.5 lakh new jobs, 20% pay hike, say experts

It may rain jobs in the new year as companies are gearing up to add over 8 lakh new employees to their payrolls and dole out salary hikes of up to 20 per cent to best performers in 2014, say experts.

As per estimates of various human resource consultants, the year 2014 seems very promising for job market unlike 2013, when hirings went slow across mid and senior levels and recruitments were done only to replace 'key' gaps.

In the new year, the country is likely to witness a huge surge of opportunities for job seekers with more and more corporates investing in their businesses.

"Yes, 2014 looks bullish on hiring. 2014 will be seen as a good happening year from the jobs perspective as the global economy is improving and India being one of the largest service provider for the global market," leading executive search firm GlobalHunt MD Sunil Goel said.

According to industry estimates, over 8.5 lakh new jobs may be created in the calender year 2014. The issuance of new banking licences will be a major contributor, while IT, healthcare, agri-business, infrastructure and education sectors are also likely to witness robust hiring trends.

"Last calendar year was not good either for job seekers or for employers due to uncertain and fluctuated economical and political conditions. 2014 is coming with positive vibes for jobseekers and expecting to create 8.5 lacs new jobs in different sectors," Rajesh Kumar, CEO, MyHiringClub.com & FlikJobs.com said.

With regards to salary, the average hike for most sectors is expected in single digits, while top performers can expect pay rise of around 15-20 per cent in 2014, experts say.

"This New Year is going to bring cheer for employees with a salary hike of double-digit of at least 10-12 per cent. In 2014, companies are expected to revise the compensation package and explore a more motivational approach," Indian Staffing Federation Vice President Rituparna Chakraborty said.

"All indications are that the average increase will be around 10 per cent across the industries. However, as pressure is mounting on companies to keep its growth intact, high achievers will be getting increase better than last year, which may range between 15-18 per cent in different sectors," GHCL Ltd VP and Head-Human Resources Rajesh Tripathi said.

Echoing similar sentiments, Vdopia's spokesperson, Preetesh Chouhan, VP-APAC, believes ideally a high performer receives an incremental hike of 12-15 per cent in comparison to an average rise in salary.

According to Changeyourboss.com CEO Bhupender Mehta, sectors like services, mining, construction and infrastructure are expected to up their hiring activities and companies are expected to give 12 per cent average salary hike.

Lighthouse Partners' Managing Partner Rajiv Burman said a new government in 2014 should emphasise on promoting growth and therefore hiring trends will also improve. The pay hikes could be 5 per cent for average performers and 10-20 per cent for high achievers, he said.

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