HP Staff Go On Strike

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Over 1,000 employees at HP’s Enterprise Services branches went on strike last week in England. The employees are represented by the Public and Commercial Services Union (PCS), and the strike took place after talks between HP and the PCS to avoid such a strike (or a strike action, as they call them in the UK).

HP acquired Electronic Data Systems (EDS), the UK company that would become HP Enterprise Services in 2008. Since HP acquired the company, 3,400 jobs have been laid off and another 1,000 job cuts are scheduled for 2010. In addition to the layoffs, employees are upset over a pay freeze that is in place for 2009 and 2010.

HP Enterprise Services employees are mainly contract workers for the English government’s Department for Work and Pensions, Ministry of Defence and the private-sector General Motors.

PCS general secretary Mark Serwotka said in a statement “Strike action is not a step that our members take lightly. They have worked hard to help the company deliver fourth-quarter revenues of $30,800,000,000, yet have been slapped in the face with job losses and a pay freeze for two years running.” That $30 billion was HP’s total revenue from their total worldwide operations, including computer sales.

HP says that talks broke down after they made a “reasonable offer” to the union, which they rejected and called a strike action without a counter-offer. HP and PCS are currently in talks to avoid another strike action.

Last November, engineers from the same HP Enterprise Services division went on strike after HP cut their pay and pension benefits.