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A few weeks ago I compared the Obama Stimulus package to what Intel was doing to prepare for the future, and I didn't find out until later that the people at Intel were following advice that Andy Grove, their most famous CEO, had given years ago. That advice was that companies that try to save out of a recession generally fail; you have to invest in your future if you want to survive. Looking at Obama's future, I think assuring he is successful is in all our best interests at the moment.
In spite of the pay cuts, HP is still doing more layoffs. So it was not to avoid layoffs, it is in ADDITION to layoffs.