Outsourcing Toolkit

HP refuses to quash job-loss rumours

Dan Ilet silicon.com

Published: 18 May 2005 11:40 BST

HP has refused to confirm or deny rumours of a further 150 job cuts at a Newcastle technical support centre.

The company, which will outsource IT support to an Indian firm, said it will make 100 redundancies at Twenty4help, 60 of which will happen in August with the other 40 in November.

But ZDNet UK sister site silicon.com readers claiming to work at the company have said that 250 people will be fired.

One reader wrote: "HP's decision, officially announced last Thursday, affects 250 employees from the managers to the agents. According to the official announcement 40 percent (and NOT 40 employees) of the call volumes will be transferred to India until 31 July then the rest until 31 October [sic]."

"The decision is official and now everybody is waiting for HP's verdict that which [sic] teams, business lines must be the first which have to go at the end of July."

Despite the claim, HP has stood by its previous statement, but has not denied it may axe a further 150.

"We're not denying it," said a representative for the company. "One hundred is the figure I gave. I can't confirm or deny 250."

Yesterday HP said it will continue to use Twenty4help for pre-sales enquiries or customer service issues.