HTC

Exact number of employees and departments affected still unknown

Word has come out today that HTC has laid off about 30 employees and  contractors from its HTC America division, which amounts to about 20 percent of its workforce. According to a statement given to The Verge, these layoffs are strategic moves to help "streamline and optimize our organization," with a focus on slimming down the company amidst lackluster financial results.

At this point it isn't clear which employees have been let go and from which departments, but sources say that the layoffs spanned across multiple areas of the business. In a time where profits and sales haven't been as high as expected and HTC's market share has stayed small or slightly declined in most areas, it really comes as no surprise that layoffs would be coming given the somewhat rocky state the company is in.

Jason Mackenzie, President of HTC America, has said in a letter to employees that those affected by the layoffs will be treated with respect and the company will provide them with resources necessary to continue their careers elsewhere. HTC's official statement is quite lengthy, and can be found after the break.

Source: The Verge

Today's reduction in force is a decisive action by HTC Corp (US) to streamline and optimize our organization and improve efficiencies after several years of aggressive growth.  Realigning its human resources against key strategic initiatives will help HTC more effectively advance into a new stage of growth and innovation. This is a hard decision that has direct impact on people who have contributed to the growth HTC has experienced the past several years. However, to achieve our long-term goals as a business and return maximum value to our shareholders, this is a necessary step to drive ongoing innovation, ensure our ability to create strong products like the HTC One, and forge strong customer relationships that solidify our future.  HTC is proud of its employees and has a track record of hiring the best and brightest; we continue to hire in strategic areas and encourage impacted employees to apply for open positions that are a fit for their skills.

 
There are 67 comments

RaiderWill says:

That's Never Good News...
Not The Way To Do It HTC.

tantai says:

:( :( :( :( :(
:( :( :( :( :(
:( :( :( :( :(
:( :( :( :( :(
:( :( :( :( :(
:( :( :( :( :(

30 Sad Faces!!!

barondebxl says:

LMAO. HTC is pretty much done

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Gator352 says:

So is your girlfriend....

ChromeJob says:

ABSOLUTELY uncalled for. :-\

Splattered for your amusement... via the AC App

Gator352 says:

My comment was splattered for MY amusement :)

xlDeMoNiClx says:

At least he has a girlfriend Gator. ;)

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MERCDROID says:

You're a f***in idiot, lol.

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tantai says:

Yes I am. HaHa
Very happy.

MERCDROID says:

I apologize; I shouldn't have called you an idiot. But, I still don't agree with you posting gibberish, most of the time.

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tantai says:

Thank you very much for follow me. Appreciate that,dude.

Gekko says:

if the CEO had any shame, he would have fell on his sword long ago.

do you hear me Chou?????????????????????????

mwara244 says:

SOB's ego couldn't let go, had to run the ship aground. What happened to stepping down, empty promises, hopefully the stock holders can push him out, but he'll probably get millions if he is fired. I hope his severance package is FaceBook stock.
And sadly this how most corporations are with megalomaniacs running them, especially here in the US

franky_402 says:

As sad as it is , it's a necessary evil if they want to stay afloat. If they really cared then once they lift back up they should re-hire those employees. I'm sure they are getting some decent severance pay and job help as well which does soften the blow some

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A necessary evil, in some cases this might be true. How is a one billion dollar ad campaign streamlining, they gave Downey $12 million dollars? This is not the way to garner public demand for their products.

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GIkari says:

12 million for ads of questionable effectiveness. My mom is in the market and mentioned their commercials. "I don't get those ads." Speaks volumes.

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tantai says:

H T C = Help This Company

LoL.

Anyway, We want you back to the game with HTC One MAX.

Even the note 2 didn't best s3 sales. How can you expect One Max to be their savior when their "phone for everyone" didn't sell well.

MERCDROID says:

I wish you would just stop posting. You never have anything relevant to say.

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NoNexus says:

Really?

I know that losing jobs sucks but if they are redundant then this helps the company stay viable.

This is good news for everyone but the guys losing the jobs

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BB_Bmore says:

30 employees are 20%? Wow.

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Gotta remember this is just HTC Americas.

tantai says:

What the hell is up with their latest advertising campaign?....Shit hit the fan!!!

MERCDROID says:

Why are you still here?

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tantai says:

I am enjoy to be here. Woooo Hoooo :)
How about you?

SlimJ87D says:

He's here to try and convince someone he is actually funny. He serves no other purpose.

MERCDROID says:

Lol, sounds about right.

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Gator352 says:

You're as worthless as tits on a bullfrog....

jlczl says:

Wow. Pay one man 12 million for questionably effective commercials or pay 120 people 100k? I'm hoping the ones getting the ax are those who agreed paying 12 million to one individual was a good idea.

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Ads are necessary, you know. The samsung's and apple's ad budget is well beyond that.

npco543 says:

Yes, ads are necessary... so long as they're effective ads. Blowing a billion dollars on ineffective ads is simply blowing a billion dollars.

Can anyone really argue that the ads in question are anything but a failure? They're not funny, they're not clever, they make no point. They're a waste of a billion dollars that could have been spent, oh, I don't know, adding SD card slots to their phones.

They just keep making bad choices. It's hard to feel sorry for them at this point.

And just to quantify that billion dollars, at 5 million HTC One's sold, that billion would have let them reduce the price of the One by fully $200 each. Hmmm, something tells me that would have won them a lot more customers than these pitiful ads.

Exactly. "Hipster Troll Carwash" isn't selling phones to anyone. Their new ads are garbage. They were better off with the "Designed around you"/keeping the users in mind style ads over this new campaign. While I agree that sometimes it is necessary to lay people off to keep things afloat and "optimize" the company, but I don't think that was necessarily the best choice in this situation unless there was truly a lot of redundancy inside.

I bet the ones layed off didn't make above $50,000 a year. The CEO pay should be cut at any corporation before laying off. Its not what you know anymore but who you know.

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It amazes me how many people don't understand marketing. It is ALWAYS a risk and a gamble, and sometimes you win, sometimes you lose.

Yes, this is sad news, but if they didn't spend money on marketing those people would probably have never had jobs.

mike31082 says:

And yet it amazes me how little you know about marketing yourself. Effective marketing is a science, not a gamble and it conveys the benefit(s) of the product, while broadly targeting the core market.

I think the new ad campaign for HTC is quesntionable. Sure it gets the message across about boomsound, but they didn't need RDJ to do it IMO. Especially a company that is struggling like HTC.

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maybe Im too young to understand, but when a company as large as HTC fires 30 employees how is this helping to streamline things. I doubt these people were making $2 Million a year.

Mayoo614 says:

Reducing cost is a hard thing to do. The easiest way to do it for most company is to cut in the things you control. It's not vendor costs, it's not shipping cost. The most direct expense is employees. It is very sad, but this is true for the majority of companies.

Imagine they all have a low 30k/year. 30*30k=900k/year. That begins to be big money. Make that 34k average and you pop over 1M/year.

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Tyson Fulton says:

Plus, if you include benefits, the number is closer to double the salary figure.

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NoNexus says:

Simple, if you have 30 people doing the same job as 30 other people, 30 of them are not all that important

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Mayoo614 says:

Here's To Cuts
Homeless To Come
Hold The Check
Help The Cleared

... Ok enough now. Situation is sad but I couldn't help it.

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anthonok says:

Hmmm maybe they should stop putting out all these desires and minis and little phones for phones, and focus on making ONE product sell instead of failing at multiple....before I get called a Samsung fanboy or isheep please know I prefer HTC over any other handset company

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bez54 says:

Yip. I agree. I have a nexus 4 just now but my first android was a HTC desire. I loved it. HTC should stream line the devices it puts out and undercut everyone. The HTC one is an awesome phone and they should market that and the mini.

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I was considering buying an HTC, I guess I won't now.

MooreDawg

Want them to fire more people?

return_0 says:

Wait, so you're boycotting a company just because they laid off workers? Good luck buying anything in the real world, then.

I was considering buying an HTC, I guess I won't now.

MooreDawg

rampage1979 says:

They are not the first or the last to layoff workers when Google bought Motorola they also layed off some employee's

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That's right capitalism at all cost as long as its the ones who actually do the work. The more people employed with a living wage the more merchandise you sell. Soon no one will be able to afford their products all so a few CEO make enough to afford their 3 or 5 mansions. Then what another bigger dive in the economy.

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DJLevy7 says:

Just another reason why I did not buy their phone

What does laying off some employees in the US have to do with you not buying their phone? It changes nothing about the quality or long-term viability of their products.

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ChromeJob says:

It could at that. I went through several problematic Amazes, T-mo kept punting the issues to HTC US Support, which offered little other than "send us the phone." If US support and service personnel are those being cut, expect a lower level of support for their phones here. That does IMHO impact viability of their products.

Splattered for your amusement... via the AC App

I worked at Motorola and they laid off our whole plant. I will buy American if I can but I'm not gonna support them just because. No HTC for me!!

MooreDawg

drokssilva says:

Well it happens and I'm sorry but you can't boycott a company because of it. It would just cause more people to be laid off. I get the outrage, I agree that HTC and other companies that have laid off people made some bad choices to get there. But it happens. It happens to much.

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xketchupx says:

or you could just not hire RDJ to do your commercials and save a few jobs, dang.

Haalcyon says:

I like RDJ. I believe in his story and am glad he got himself cleaned up. However, I don't think an ad with him in it is worth 30 employee's jobs unless they were really dead weight.

jerrod6 says:

Streamline and Optimize are code words for Wall street and investors.
These code words hint that things are not going well for them and they know it so better get these words out in front of earnings reports.

Streamline and optimize mean layoffs of people that have done their jobs and done nothing wrong, but they were let go anyway. Maybe they find other jobs, most likely not...at least not jobs paying the same amount.

Been there done that....know all about what this means.

c0ldburn3r says:

Not surprising. HTC brought in a decent phone way too late hoping for some serious profit turn around.

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Yea my wife's been in the manufacturing world for over 34 years and has worked with companies like Rockwell International,Fujitsu, Apple,Texas Instruments has now been with her recent company(doing Photomask) for 16 years and has seen it go from 6 plants in the US to 3 now. She was lucky to make it through this layoff frenzy(Even tho she's now doing the work of 4 people and hasn't had a raise in 7 years) just so CEO and Share holders can pump up their accounts a few more millions on the workers.

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Ryde04 says:

Typical capitalism. Can't see how anyone sees a corporation laying off employees - in most times unnecessarily - is shocking.

With that said however, it is crazy however that HTC is doing it after their current events. 1) finally make a phone that has been well received by the general public and exists alike 2) spent outrageous amounts on unnecessary marketing.

Like someone said above, I hope that the ones who decided the RDJ commercials were appropriately effective given its costs were among these people.

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Ryde04 says:

Typical capitalism. Can't see how anyone sees a corporation laying off employees - in most times unnecessarily - is shocking.

With that said however, it is crazy however that HTC is doing it after their current events. 1) finally make a phone that has been well received by the general public and exists alike 2) spent outrageous amounts on unnecessary marketing.

Like someone said above, I hope that the ones who decided the RDJ commercials were appropriately effective given its costs were among these people.

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So were they the one's that came up with the "Ultra Pixel"?

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skipatrol says:

I wonder if getting VZW on board 6 months after the One's release had something to do with this.

barondebxl says:

Its over for HTC. Look at blackberry, they used to rock, now its over for them because of poor decisions they made in the past. Same with HTC, they have a good phone but their past is biting them in the a$$.

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scouser73 says:

HTC = Halt The Contracts

exdroid says:

Its just like kicking out 10 people from a house of 20 so that the remaining 10 people can have 2 beds each for themselves.

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MidMoMonkey says:

Really? I'm surprised this is a story and I'm surprised at the opinions in the comments. 30 people is almost nothing. Sure it sucks for them but are there any large companies that haven't had layoffs? I guess you can say this is a large part of HTC America but that is meaningless. Hi Tech Corporation pays the bills and they are huge. I'm not saying they aren't in financial trouble but I don't think 30 people being let go is a sign of anything.

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n8cs says:

At least they're letting them go instead of just not paying them now. Now THAT was low...