HP Announces Plans To Lay Off 4,000 To 6,000 Employees By 2028 As AI Becomes Central To Its Operations

HP Inc., like many tech companies, is restructuring its workforce as artificial intelligence becomes a larger part of its operations. The company plans to cut 4,000 to 6,000 jobs by the end of fiscal year 2028, according to a company press release.

The reductions are part of a broader initiative to increase productivity, improve customer experiences, and drive innovation through AI adoption. HP said the layoffs will primarily affect employees in product development, internal operations, and customer support, according to CNN. The company expects the cuts to save nearly $1 billion by 2028.

“Structural cost savings represent gross reductions in costs driven by operational efficiency, digital transformation, and portfolio optimization,” notes the press release.

Workforce reductions are just one component of the plan, which also includes program consolidation, platform simplification, and other long-term productivity measures.

This is not the first time HP has downsized. The company cut a similar number of positions in 2022 and laid off up to 9,000 employees in 2019, as CNBC previously reported. With a workforce of about 58,000 as of October 2024, the new cuts could reduce HP’s staff by roughly 7% to 10%, according to PCMag.

HP’s PC business continues to perform well, generating $10.4 billion in net revenue for the fiscal year, up 8% from the previous year, the outlet reports. Additionally, its printer division brought in $4.3 billion, a decline of 4%, per the outlet.

PCMag also notes that Enrique Lores, HP’s president and CEO, will provide more details on how AI is transforming the company’s operations during Investor Day on April 23, 2026.

HP’s announcement comes amid a broader wave of AI-driven layoffs across the tech industry. According to a previous report from PCMag, Intel announced in July that it would cut 24,000 jobs, representing 15% of its workforce. In the same month, as AFROTECH previously reported, Microsoft laid off 9,000 employees, affecting just under 4% of its global staff. Amazon followed with 14,000 job cuts in October, and Verizon reduced its workforce by 15,000 in November, which AFROTECH also reported.

The post HP Announces Plans To Lay Off 4,000 To 6,000 Employees By 2028 As AI Becomes Central To Its Operations appeared first on AfroTech.

The post HP Announces Plans To Lay Off 4,000 To 6,000 Employees By 2028 As AI Becomes Central To Its Operations appeared first on AfroTech.