Feeds

IBM in US jobs cull

8,000 to go this quarter - WSJ

  • alert
  • submit to reddit

Bridging the IT gap between rising business demands and ageing tools

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

Build a business case: developing custom apps

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
UK Parliament rubber-stamps EMERGENCY data grab 'n' keep bill
Just 49 MPs oppose Drip's rushed timetable
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
US freemium mobile network eyes up Europe
FreedomPop touts 'free' calls, texts and data
prev story

Whitepapers

Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
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.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.