We offer our employees competitive compensation and benefits. We believe that recognizing and rewarding employees for excellent performance is the best way to motivate them.
Our pay and benefits philosophy, known as Total Rewards, states that:
- Company success depends on rewarding talented employees who can achieve exceptional results.
- HP uses variable pay programs to reward strong and consistent company and individual performance.
- We expect managers to differentiate rewards based on results.
- HP provides opportunities for employees to be shareowners (such as through stock purchase programs).
- Total Rewards are competitive within relevant markets and can be differentiated by business, function and job classification.
In addition to base and performance-related pay, we offer a number of benefits everywhere we operate. These may include:
- Health plans
- Income protection (insurance to protect income in case of injury or illness)
- Retirement and savings packages
We are making strategic changes to compensation programs to support our Total Rewards philosophy. In 2007, we replaced the company performance bonus (CPB) with a variable performance bonus. Under this new plan, individual bonuses will vary by business unit results and individual performance rather than overall company performance. We also changed our sales compensation incentives to provide simpler performance measures, global consistency and increased rewards for top achievers.
For more information, including benefits by country, see our website.
In 2007, we adjusted our severance package to better align it with the industry norm. Employees leaving HP as the result of workforce restructuring may receive severance benefits in amounts ranging from one month to twelve months of pay, depending on business group and length of service. In addition, HP provides employees with support and assistance in looking for alternative employment as we've offered in the past.