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IBM slices UK GTS contractor rates

Ninety per cent of something or a hundred per cent of nothing

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IT contractors working for IBM Global Technology Services (GTS) in the UK are being hit with a 10 per cent rate cut from this week.

A Reg reader said that IT bods were being told that they had to accept the rate reduction from this weekend.

Recruitment firm Hays confirmed that contractors were getting their pay chopped, but wouldn't give any further details.

"Some contractors are being notified of proposals to change their daily rates," a spokesperson said. "Those individuals affected by the changes are being contacted directly."

According to IT Jobs Watch, IT contractors at IBM GTS in the UK make an average daily rate of £425 and an average hourly rate of £24.95.

GTS, which takes care of stuff like hardware outsourcing and product maintenance, had essentially flat sales in the third quarter, after a small increase in Q2.

IBM declined to comment on the rate cut. ®

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