As its Silicon Valley workforce changes, Hewlett-Packard has decided to consolidate its employees at its Palo Alto, Calif. headquarters.

The world’s largest computer company has gone through big changes over the years, laying off many of its Bay Area employees and expanding in places overseas such as India. As a result, the company no longer needs its offices on various campuses in Cupertino, Calif. HP was started by Bill Hewlett and Dave Packard in a Palo Alto garage (pictured) in 1939, so it’s good to see that the company isn’t thinking about shutting down in Palo Alto.

The concentration in the headquarters campus will result in a more productive, flexible, ecological, and energized work environment, said Pete Bocian, chief administrative officer at HP, in a memo to employees. Today, both Cupertino and Palo Alto are only 60 percent filled, and HP’s goal is to take that to 90 percent filled in Palo Alto. The transfer will take place over the next two years, as it involves thousands of employees. Apple, which is based in Cupertino, has been expanding rapidly and has leased many of HP’s former buildings.

Update: HP said it has 304,000 employees but does not break them out by location. The company said the change will let HP better use the space, reduce its carbon footprint, and provide employees with a more collaborative work environment.

Here’s a copy of the memo to employees below:


To: Employees working in the San Francisco Bay Area

As you may have already heard, we are planning changes to our offices in the Bay Area.  We will create a more productive, flexible, ecological and highly energized work environment.  HP will boast a world-class headquarters that better reflects our brand, better supports the way we work today, and improves our impact on the environment.

We need to improve efficiency and utilization of the Cupertino and Palo Alto sites. Recent analysis shows current utilization of both sites is low, with only about 60% of workspaces in regular use – our goal is to have 90% of workspace in regular use.

It is also recognized that many existing facilities would require substantial investment to bring them up to effective standards and enhance the overall quality of the work environment. We will be making these investments as part of this plan.


As a result, we are planning to move employees (over the next two years) from the Cupertino site to Palo Alto. Closing the Cupertino site is a big change, and we recognize that the transition will touch all Bay Area employees in some way.

Here is an overview of the changes you can expect between now and FY12:

·         Building 20 in Palo Alto will be fully upgraded and improvements will be made to Buildings 1-6. Older infrastructure will be replaced with new, more efficient technology, using green solutions such as energy-efficient lighting and equipment and sustainable materials.

·         The Customer Briefing Center will be relocated to the Palo Alto campus.

·         Project work planned in Cupertino will cease and if you have been notified of an upcoming move, the timing may be revised. More information will be forthcoming shortly.

Global Real Estate will provide the tools and information you need for a successful implementation. As plans progress, you’ll receive regular communication through email, town hall meetings and newsletters. You can also check the Bay Area site home page, where you’ll find regularly updated information, FAQs and the opportunity to submit a question via the Employee Experience Feedback Form (select Global Workplace Initiative as your service).

Plus, your business leader will provide additional information, including more specifics about what these changes mean for your organization.

Thank you for your support as we create a world-class headquarters in Palo Alto.



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