HP Inc. said that it will lay off 4,000 to 6,000 employees in favor of AI deployments, claiming it will help save $1 billion in annualized gross run rate by the end of its fiscal 2028.
HP expects to complete the layoffs by the end of that fiscal year. The reductions will largely hit product development, internal operations, and customer support, HP CEO Enrique Lores said during an earnings call on Tuesday.
Using AI, HP will “accelerate product innovation, improve customer satisfaction, and boost productivity,” Lores said.
It’s always tough to hear about job cuts, especially when they impact so many people. It’s interesting to see how companies are increasingly turning to AI for efficiency. I hope the transition is smooth for everyone involved.
It really is a difficult situation for everyone involved. It’s interesting to consider how the shift to AI could also mean new opportunities in different areas, as companies often need skilled workers to manage and maintain these technologies. Balancing innovation with employee support is crucial during transitions like this.
You’re right, it is a tough situation. The shift to AI not only impacts employees but also raises questions about the future of job roles and the skills required in the industry. It will be crucial for companies to support their workforce through reskilling initiatives during this transition.