HP slashes EDS employees' pay by 30 percent

Bengaluru: Just months after informing its employees that it wasn't considering permanent salary cuts, Hewlett-Packard (HP), the global leader in PC manufacturing, has announced a 30 percent cut in the salaries of EDS employees.
In April, California-based HP had instituted a one-month, 10 percent pay cut for EDS workers in the US and Puerto Rico with salaries in excess of $40,000.

HP had acquired Plano, Texas-based EDS in May 2008. The company said the cuts are part of its efforts to integrate EDS' consulting business and to bring EDS salaries closer in line with similar HP positions.

According to media reports, the company has taken a project to ensure that employees in both EDS and HP holding the similar positions receive the same compensation.
In February, the company announced pay cuts of between 2.5 percent and 20 percent after posting disappointing fiscal first-quarter results.

In a separate announcement, the company has said that it agreed to a multi-year, multi-million dollar contract to supply point-of-sale computer hardware to Play N Trade video game franchises, which has more than 250 retail stores worldwide.