Kind of hard to hear the CEO defend poor quality vs speed during the CEO hour. Equated Netflex speed to acquire new customers vs doing a quality job. Hint, IBM has low backlog and with federal government layoffs many federal contracts have gone away. Coupled with the new employee bonus structure forcing 30% to be rated low so the top 15% can get double the bonus and salary increase money is also telling.
Expect a April 1st massacre.
CEO has been told by the board to replace all expensive dinosaurs from high cost areas, or he would lose his own lucrative job
AK said: “I will replace expensive button pushers from North America with cheaper younger, hungrier peons from my beloved homeland India, and keep my $80 million a year job in the process “
Where does 30 percent come from, Isn't it 15 percent on both ends and 70 in the middle?
The 1st layoff in the early 90s they did ask for volunteers. My advice is if you are ready for a package tell your manager they can pick you and makes their job easier. Just make sure you’re ready. Ha! 😀
In the 50's, 60's, 70's, 80's, IBM cared about quality. Then greed took hold. Ever since it's been downhill quality and innovation and uphill free cashflow (= downhill # of US employees). Hiring marketing writers from India is the best example of how much IBM cares about quality in their marketing materials. It's a shame considering the quality of the 8-bar logo and all the Eames' fine work for IBM. The shareholder is king now, mostly because they're gifting execs with stock instead of cash so it doesn't look like the C-suite is getting 100 times the avg. IBMer salary.
no buyouts. best to hope for is an extended time to search for 'internal jobs' which won't be there. Look at the internal job listings then go to the public help wanted. 4005 jobs in India Rest of world about 25% of India numbers.
Alvind and the Pipmunks have their backs to the wall and trying to find a way out....but there simply might not be one this time, except to fire more senior employees, starting with those well paid executives. The party is over for more geos, but the Indian circus continues. And Trump is he-l bent on cutting down the size of the US Government, and Alvind hasn't paid "Mr Cofefe" his bribes (called fees) to continue playing at the Federal Government Projects table. The perfect storm in a teacup.
I saw the last T&O all hands. They were bragging about free cash flow
Do you think they’ll offer voluntary separation? I’ve been with the company only 10 years but I’m over 40
Anyone know if IBM does that ?
Massacre meaning layoffs ?
No, an actual massacre this time, because not enough money left over after executive bonuses. No need to pay severance that way.
Massacre meaning layoffs ?