HP to move Aguadilla production line
May 21, 2021
The OEM has announced plans to move its production line from Aguadilla, Puerto Rico, to Singapore as part of its restructuring plan.
The production line in Puerto Rico was established in 2015 by HP and employs 150 people direct and 250 further positions are connected indirectly. EL VOCERO reported that the OEM is looking to move the production line from the island to Singapore by 2022, making 400 people vulnerable.
HP Inc. announced restructuring plans in 2019 of which this move is part of, to reduce its global headcount of 55,000 in 2019 by 7,000 – 9,000 employees. EL VOCERO did report though that this production line move does not mean the HPE operation on the island will also close. The move will begin in November this year and is envisaged to take until May 2022.
The Department of Economic Development and Commerce (DDEC) told EL VOCERO that: “although they still do not know the specific number of people who will be unemployed, they are preparing to guide them on the aid and benefits available to which they can apply, and the employment opportunities that are available on the Island.”
This closure will also have an impact on the island’s tax income.
Earlier this month The Recycler reported that HP recently signed a contract with Foxconn to sell its laser printer manufacturing subsidiary in Weihai that HP acquired four years ago when it bought the Samsung printer business. Foxconn is supposed to purchase the plant and produce products for supply to HP.
Categories : Around the Industry
