HP has announced that EDS chief executive Ronald Rittenmeyer will retire effective 31 December with current EDS senior VP Joe Eazor set to take his place.
Joe Eazor
(Credit: EDS)
Eazor will report to Ann Livermore, head of HP's business technology unit into which EDS will be folded, according to HP.
HP announced plans in May to acquire EDS for $13.9 billion, and completed its acquisition in August. At the time, the word was that EDS would operate a new business unit, which would be called EDS, and that it would continue to be led by Rittenmeyer.
Rittenmeyer, who had reported to HP CEO Mark Hurd, joined EDS in 2005 and was named chairman and CEO in 2007. He played a key role in accelerating the company's transformation and subsequent integration within HP, Hurd said.
Eazor, for his part, was executive vice president of corporate strategy and business development at EDS prior to the acquisition. He also served as senior VP of EDS Asia Pacific, with responsibility for more than 30,000 employees in the region including India, China, Japan, Korea, Southeast Asia, Australia, and New Zealand.
HP executives have said they bought EDS to expand HP's business beyond traditional computing and printers. HP has been trying to develop its software and services business over the last few years. EDS adds a service component that will help the company compete head-to-head with IBM.
In September, HP announced plans to cut 24,600 jobs over the next three years in the wake of its EDS purchase. In addition, a number of business publications reported Friday that HP is freezing worker salaries in a cost containment move. However, HP employees will still receive their year-end bonuses, the company said.
I hear he got paid out 55 million. Interesting. Yet I heard that he decides to announce last week that the salary reviews due for Feb 09 have now been canned after EDS people were waiting and told early this year that it would definitely happen then! Also canning anniversary bonuses. Things are going from bad to worse it seems. How can they expect any sort of staff morale from this? Many people have been scared off working for EDS and this trend will continue for a long time coming...