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Thread: the compaq hp merger

  1. #1
    Senior Member
    Join Date
    Dec 2001

    Post the compaq hp merger

    Many of our IT bros and sisters are worried about their jobs in not just these two companies, but all over the world. I has been my experience that mergers and takeovers cost the little guy (girl) their job far too often.

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  2. #2
    Senior Member BrainStop's Avatar
    Join Date
    Jan 2002
    Yes, I think mergers and takeovers are not to the best interest of the people who work for the companies involved.

    If you start by looking at the general services departments (such as HR), there is bound to be overlaps and cuts. The same goes for the procurement side.

    Then for the rest ... why do mergers and takeovers happen? For added profit or trimmed-down costs, not for the benefit of the employee.

    There are some cases where vertical integration (between supplier and supplied) can be beneficial as the overlap is minimal and reduces waste in the dealings between the two, but horizontal takeovers (makers of similar products) do lead to staff cutbacks.

    Anyway, it's not the place to start a thread on economics ...


    "To estimate the time it takes to do a task, estimate the time you think it should take, multiply by two, and change the unit of measure to the next highest unit. Thus we allocate two days for a one-hour task." -- Westheimer's Rule

  3. #3
    Senior Member
    Join Date
    Feb 2002
    Too true, I used to have a weekend job with a local training company (very basic, how to switch on the machine, howto access the net etc.) that merged with three other computer based companies and because of it I lost my job.
    The new bigger company hired someboby (who knew alot less about the job than me) full time and paid him a hell of a lot more for doing the exact same amount of work.
    I still fail to see the logic of that decision.

    I know this is a very small scale example but it happens all over the world in any size company when their is a change in the management structure.
    If you don\'t learn the rules nobody can accuse of cheating.

  4. #4
    AO Curmudgeon rcgreen's Avatar
    Join Date
    Nov 2001

    Thumbs up

    Businesses do not exist for the sake
    of creating jobs, but to meet consumer
    Consumers are ruthless in their search
    for better and cheaper products(I know I am).

    Businesses some times sell or spin off
    divisions, if that will result in cost savings.
    If they didn't relentlessly pursue cost
    savings we'd all be driving '72 Pintos and doing
    our computing on a slide rule.

    If a business can't compete, it will go out of
    business. What happens to the jobs then?
    It's no fun having to compete for your job,
    but c'est la vie!
    I came in to the world with nothing. I still have most of it.

  5. #5
    Join Date
    Oct 2001
    I agree with rcgreen, there is nothing you can do. Besides itīs either the people or the entire company. And about the HP Compage merger I hope it doesnīt continue. Compaq (in my and other fellow geeks opinions) makes inferior computers, their laptops are terrible and their Proliant servers do not perform well.

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