Thread regarding IBM layoffs

"Anyone with current skills can easily leave for more money at a better company with far better growth prospects, and were in the best economy in decades, so it's a great time to go. " --- Not if you're over 50. IBM is setting an example for other companies: exchange your experienced (older) workers for cheaper, younger ones. It doesn't matter how current your skills are, if you're over 50 it's tough to get hired anywhere.

IBM confirmed today that 1700 folks were laid off. They didn’t say where in the world they were laid off from. IBM is going to stretch this lay-off out as the Redhat deal is not complete. They need Redhat in the boat before they finalize all of their plans. It’s just dotting the i’s And crossing the T’s. IBM announced a 7% decrease in GTS revenue in April’s 1st Q earnings, approx 5% across all divisions worldwide. You should expect IBM to reduce headcount 7% in GTS and 5% companywide as 2019 moves along. (The head count to revenue matrix has been in use for years). The numbers should equate to approx 17,500 heads over the world over the year. So let’s look at the numbers so far

1. CFO Confirms 500-700 million 2019 charge for redundancies

2. CFO confirms IBM will withdraw from GTS contracts that contain OEM

3. IBM sells to HCL Domino, and commerce

4. IGF confirms they have withdrawn from OEM

5. IBM confirms they will withdraw from low margin services engagements

So what should we expect. I would say 17.5 k worth of heads will get laid off. Another 12k heads will be removed due to redundancy (Redhat replacing IBM legacy). Expect low margin services to be spunoff/ merged off/ sold off. (approx 30 - 50k worth of heads. It depends on how aggressive IBM wants to be, and how aggressive the acquiring company wants to be). IBM will exit manufacturing of HW, and adopt an IP strategy for HW. This will involve a GF kind of deal. (approx 5-7k worth of heads) Doing the math says the “new” IBM will be approx 265 -275k worth off heads

https://www.theregister.co.uk/2019/06/07/ibm_layoffs/

Statement in news report of 1/2 of 1% is misleading. They are counting employees all across the world. It's US layoff where only US employees should be counted only. Looking at all forums,Facebook,internal different departments employees feedback,minimum 20% cut is across all business units in US and some departments are cut even more then 20% in range of 40%,60% and even some small teams are overall wipe out in range of 90%-100% with expected merger of GBS and GTS coming soon.

This is Big BS selling false misleading information to media and then fooling people.

https://www.ibtimes.com/ibm-layoffs-tech-confirms-1700-job-cuts-2798673

You know this forum is important when referenced by major news outlets lol.

It's a lot more than 1/2 of 1%.

Hearing solid information that there is another round already planned for when this one is done.

As someone in another thread noted, why the heck aren't more people quitting? Anyone with current skills can easily leave for more money at a better company with far better growth prospects, and were in the best economy in decades, so it's a great time to go. People work on a dead end legacy product like Z, AIX, hardware, websphere, etc, or do easily outsourced jobs, should be improving their skills and leaving, and yes it'll be on their own dime. Seriously, do those people think they can make 67 And retire from Ibm? That's nuts, and waiting to leave just makes it harder to do. Maybe they seriously expect the company to spoon feed them retraining? If so, they should share of of that newly legalized product they're smoking.

Get out while you have the option to do so on your own terms. no one should be surprised when ginni the axe takes out a contract on them. It's a matter of when, not if - literally everyone in the company who's under band b is one bad quarter from being on a list.

there is a reference to our board here on layoffs.com in the first paragraph

Well, CNBC was first to cover this - all other media is just late - IBM is good at hiding things, spread cuts across the country, no need to file WARN notices as they are giving 90 days, etc.

Shame!