The musings of an IT Consultant

Feb 27 2009   4:33PM GMT

HP and EDS Pay Cuts



Posted by: Raj Perumal
Tags:
economic downturn
EDS
HP
layoffs
pay cuts
paycuts

Hi folks, the recent pay cut announcement at HP and EDS has been taken with mixed reactions. If you haven’t heard yet, they have announced that workers will be receiving a pay cut in lieu of layoffs.

 

Now I don’t know about you but in an industry where workers are already underpaid to begin with, the prospect of a pay cut is that much more crazy. Of course on the other side of the coin, would you rather lose your job or lose some of your pay? For most people it’s almost the same thing because they need that pay to make ends meet.

 

The executives have also taken a pay cut as well. Unfortunately that isn’t being taken very well by some employees and they are concerned about this whole situation regardless of that fact. I sincerely hope everything works out well in the end and that all the people involved are able to keep their jobs. I also hope that once the tough times are over, that HP rewards their employees for their loyalty and hard work.

 

-RP

10  Comments on this Post

 
There was an error processing your information. Please try again later.
Thanks. We'll let you know when a new response is added.
Send me notifications when other members comment.

REGISTER or login:

Forgot Password?
By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy
  • Edjjjr
    Hah...EDS announced today they are cutting pay an additional 10% on top of the 5% announced earlier. It seems the company figures if it can't get customers to pay it can just milk the employees dry. I'm not making less that what I was making when I hired into EDS in 2001. At that time the expectation was 45-48 hours with a weekend two or work per month. I'm now working 70 hour weeks (as is the rest of my co-workers). The ironic part is the pay cuts are only being forced on US and Peurto Rico employees. Elsewhere, employees are protected by their countries' laws, so the US employees are being forced to shoulder an unfair share of the burden. Furthermore, only EDS employees (not HP) are being targeted with this additional 10% cut based on the email message that was sent. Apparently we EDS employees are second rate citizens at HP. I'm convinced there is no value in being an expendable commodity as an employee for a large corporation. Regardless of the hours we work, our salaries are fixed and there is always an excuse as to why raises or bonuses aren't available. They way I figure it, if I'm being paid less than I was paid working fewer hours 8 years ago, my productivity needs to decrease appropriately. I feel a lingering illness approaching....
    0 pointsBadges:
    report
  • Edshpsucks
    This is just getting crazier everyday............I am another victim of HP-EDS merger. I am totally amazed to see how these firms can just milk employees of their income at their own will.......It feels like getting ripped from both the companies....HP and EDS, My only query is that when times get better will we get awarded by both firms or none ?
    0 pointsBadges:
    report
  • SoWhoAmI
    As an EDS employee with a unit that *is* making millions for the parent company I just don't understand why the company would slash salaries of the good hard workers, dropping the employee's good faith in the company and encouraging the Great employees to jump ship. We had been through so much with pre-acquisition layoffs that 1) were not required of our unit and yet management complied and used the layoffs as a way to get rid of dead weight and 2) Key personnel leaving that we were unable to replace. My group has gone from 16 employees down to 10. We work 60-70 hours per week building up and maintaining the systems that make the $$ with no let-up and are now we are devalued to the point that most of us who aren't lifers with the company are on the market looking. I realize no individual is irreplaceable, but what happens when the group that maintains and created the very software that keeps billion dollar clients happy and hefty penalties if they're not, is reduced down to the point that we cannot keep up with even the simplest of every day functions?
    0 pointsBadges:
    report
  • Rocko
    HP took a 5% pay cut now EDS is cutting 10% more they pulled the stock plan and gutted the 401k they won't pay for your internet to log in and do mandatory UNPAID overtime. HP/EDS is just a sweatshop, and a very nasty environment to work in. Way to GO Hurd and Liverlips.
    0 pointsBadges:
    report
  • Bl0b
    its not just EDS employees..its ANY employee in the EDS business UNIT in the US and PR..which includes..ding ding...HP Services/OS employees who are now part of the frikking EDS group. 15% pay...30% less work ... no more meetings before 9 and After 5..screw that.
    0 pointsBadges:
    report
  • Bl0b
    15% paycut...30% less work.
    0 pointsBadges:
    report
  • Bl0b
    We (EDS Business UNIT) should stage a walkout..not show up for work 1 day...either at teh client site or DC... I guess they don't think the economy affects us...we don't have bills to pay, put kids thru school, buy food...pay for gas to drive to work...
    0 pointsBadges:
    report
  • Rocko
    Im looking for a new job, EDS just wants to ship ever dollar to the execs, its clear we will never get a raise ever again.
    0 pointsBadges:
    report
  • PoorITTech
    EDS people are scared, all the cuts have been chosen, We lost up to 30 percent, and the pension is frozen. The 401K plan is crap, Said HP with a hatchet, We will decide when we want, and if we want to match it. You are stuck in this state, with no jobs and no hope, So we will take some of your vacation, And see how you will cope. So you go right ahead, we dare you to quit. There are no jobs like yours, because the economy is sh*t. So you will take all our paycuts, lost vacation, with glee, Because good old EDS was bought out by HP. (Note: the main EDS person who was involved in the sale to HP has been laid off permanently). Surprised? We aren't. Buy Dell!
    0 pointsBadges:
    report
  • UnhappyEDSer
    It's even worse now. EDS employees got their jobs codes "aligned" with HP's, and HP "aligned" their pay accordingly. Most people got salary cuts between 10% and 40%...a few up to 60%! If the job code didn't match up between the companies, HP created new codes and placed employees at entry level in them.
    0 pointsBadges:
    report

Forgot Password

No problem! Submit your e-mail address below. We'll send you an e-mail containing your password.

Your password has been sent to: