Feeds

IBM in US jobs cull

8,000 to go this quarter - WSJ

  • alert
  • submit to reddit

The Essential Guide to IT Transformation

IBM US will offload as many as 8,000 people, or around 2.5 per cent of its workforce, during the current quarter.

Citing unnamed sources, The Wall Street Journal reports the planned redundancies exclude the transfer of an estimated 17,000 workers to a hard-disc drive joint venture with Hitachi. Talks on the form of this joint venture remain ongoing.

IBM declined to comment on reports that as many as one in ten of its 160,000 US employees could receive pink slips.

Earlier this month, The Register exclusively reported that IBM wants to shed 1,000 workers in the UK. IBM has asked for volunteers to accept voluntary redundancies offering a less than generous package worth two weeks salary per year of service.

This programme may lead to compulsory redundancies if too few workers accept the offer, Reg readers within IBM tell us.

Last month, IBM surprised the market with a profit warning which suggested sales for its first Q1 2002 would be between $18.4bn and $18.6bn, about 6 per cent less than it had led analysts to expect, and 12 per cent lower than in the same period a year ago. It said profit would be hit even harder, with pre-tax income down to between $1.65bn to $1.75bn from $2.49bn a year ago. ®

Related Stories

More on the IBM UK redundos
IBM wants UK workers to walk the plank
IBM hands over HDD biz to Hitachi
US server sales show green shoots of recovery

Boost IT visibility and business value

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.