EDS union APESMA has met with representatives of HP and EDS today following the news that employees in Australia will be facing pay cuts.
They've indicated to us that they see this as an alternative to mass redundancies.
Michael Butler, APESMA
EDS VP Australia New Zealand David Caspari had written to employees in Australia and New Zealand to say that the company would also look to put through cuts here, depending on legal issues and employee consent. A spokesperson from HP said that the cuts would be across both HP and EDS.
Michael Butler, industrial relations director at the union (the Association of Professional Engineers, Scientists and Managers, Australia) said that he met with representatives of both HP and EDS today. "They've indicated to us that they see this as an alternative to mass redundancies," he said, although he added that they also wouldn't give any commitments that there wouldn't be job losses in the future.
The union will be meeting with HP/EDS again next Wednesday, where it will put forward what it believes needs to happen for pay cuts to go ahead legally and without discrimination.
In order for the cuts to go ahead, there needed to be employee consent, which the company has acknowledged. Butler believed HP/EDS required a process to make sure that all employees understood the choice and that the message didn't get garbled as it travelled down the levels of the company.
"We will do all we can to make sure the process is fair and make sure that there's genuine consent," Butler said.
Butler also intended to speak about other general issues such as what it will mean about jobs in the long term if employees do agree to the pay cuts.
EDS made a profit for 2009/1, what happened to the rhetoric from the CEO that you would be rewarded for hard work and profitability? EDS employees did not get a pay raise 2008, HP employees did; why can't they just take back the raises HP employees received? No more future contributions to the retirement account; instead we were told that we would receive matching funds to 401K up to 6%. In addition to the pay cuts were are now told we would receive maybe 4% to our 401K if there's a profit on a quarterly basis. Ron Rittenour was allowed to bail out and retire t with a golden parachute from EDS with just 3 years of service. EDS was purchased to be a cash cow for HP. When the market improves Mark Hurd will also bail out with a golden parachute . Where is this all going to end? EDS is top heavy with management who collect big salaries and the bonuses among themselves. The little guy gets nothing. These managers will make it up to themselves for the pay cuts they had to endure by dividing the bonuses among themselves as ususal. These are economic hard times for everyone with the cost of living rising and your pay and benefits being reduced.. I am going to pray that the God in heaven pour out his wrath on these greedy coniving CEO's. And when it's all said and done, you can't take it with you.