Feeds

Big-Blue Euro jobs cull coming?

Non US stimulation package

Next gen security for virtualised datacentres

Big Blue's UK, German and Ireland employees should prepare for layoffs with thousands of jobs reportedly going to eastern Europe, the Far East and South America.

IBM has around 41,000 employees in UK and Germany, with contractors in the UK already having received pay cuts.

Lee Conrad, from US workers' group Alliance@IBM, is reported to have said though that he expects: "Many job cuts in Ireland, Germany and the UK in the coming months." Alliance@IBM claimed job cuts had already taken place in western Europe

IBM refused to comment on the reports.

Around 10,000 employees have been laid off by IBM in the US, many in its Global Services unit, since the start of the year. A lot of these jobs have gone outside the US to geographies that are more affordable according to Conrad. Some of the laid-off workers were angry that they were losing their jobs at a time IBM chief executive Sam Palmisano was paid a mind-boggling $19.5m.

Inside IBM US, a Project Match is said to enable employees who are being laid-off the opportunity to be transferred to a lower-wage geography - such as Brazil, China, the Czech Republic, India and Nigeria - where they would be paid a local rate.

Against this backdrop, IBM in the US is apparently attempting to pursue federal stimulus money from the US government - an action that would seem incompatible with sending US jobs offshore. The $787bn package, agreed by Congress in February, had a prime intention of preserving US jobs, something Big Blue seems not to understand.

Conrad reported said: "They're moving work offshore to pay lower wages and lower taxes. IBM shouldn't have their hands on stimulus money if they're offshoring work."

The business logic behind the cuts would seem to be to reduce IBM's own costs so that it could lower its services and other prices to customers hurting from the recession. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Kaspersky backpedals on 'done nothing wrong, nothing to fear' blather
Founder (and internet passport fan) now says privacy is precious
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
Sit tight, fanbois. Apple's '$400' wearable release slips into early 2015
Sources: time to put in plenty of clock-watching for' iWatch
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

5 things you didn’t know about cloud backup
IT departments are embracing cloud backup, but there’s a lot you need to know before choosing a service provider. Learn all the critical things you need to know.
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.
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.
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.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?