The North American technology solutions company, Hewlett Packard Inc (HPI) – established on the island in 2015 – will close the production line it maintains in Aguadilla, Puerto Rico and will move it’s operations to Singapore as a result of an operational restructuring to reduce costs and increase the profitability of the company.
The determination of the company, which manufactures computers, printers and ink – will represent the dismissal of 400+ employees in the western region of the island, of which 150 are direct jobs and the rest indirect.
The closure was confirmed by the company, as well as by the secretary of the Department of Economic Development and Commerce (DDEC), Manuel Cidre, and by the mayors of Aguadilla and Isabela, Julio Roldán and Miguel Méndez.
Cidre affirmed that the government tried a negotiation process with the company to avoid or further delay the transfer to Singapore, but it was unsuccessful.
Despite the economic incentives offered by the local government to companies that relocate their operations to the island, Puerto Rico competes against other countries that offer more attractive incentives and exemptions, as well as cheaper work labor.
