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Sources claim IBM will layoff more employees over the next few days

Many technology firms are consolidating operations and cutting employees from the payroll in preparation for a global economy that is still predicted to get worse. Among the firms hardest hit are some of the biggest names in the technology industry.

Sources close to eWeek report that layoffs will continue at IBM. The technology firm has cut 2,800 employees from its roster already, and that number is expected to climb. The cuts have come from both IBM's software and sales divisions.

Further cuts are expected in the company's Systems and Technology Group. According to sources, the cuts are expected to come quickly -- in the next few days.

Big Blue has shed 1,419 workers in its Software Group and a 1,449 employees in its Sales and Distribution network. EWeek reports that cuts have been in the area of 400 to 500 jobs at each of the IBM facilities located in Burlington, Vt.; Rochester, Minn.; East Fishkill, N.Y.; and Research Triangle Park, North Carolina.

Lee Conrad from the Alliance@IBM said, "We expect further cuts over the next couple of days in other IBM divisions. We expect this to keep going right through the month. It's really unacceptable to us that IBM is not releasing the numbers or locations on these cuts. ... It's up to IBM to come clean on this."

The first round of layoffs at IBM started on January 21, but IBM has yet to come clean on where the layoffs occurred and how many were cut officially. Among the workers said to have been let go already are 20 marketing managers and nine VPs in the sales and distribution group.

IBM recently settled a lawsuit against Apple regarding one of its former employees Mark Papermaster. Papermaster has been allowed to begin work at Apple.

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*lightbulb moment*
By MrBlastman on 1/28/2009 1:28:13 PM , Rating: 2
They'll use these layoffs at IBM to hire more Consultants!

... wait a minute ...

RE: *lightbulb moment*
By FITCamaro on 1/28/2009 1:30:42 PM , Rating: 5
No their new hires will match their new name.

I ndian B usiness M achines

RE: *lightbulb moment*
By quiksilvr on 1/28/2009 2:06:57 PM , Rating: 5
Outsourcing! Because paying employees $7 an hour is $6.99 too much!

RE: *lightbulb moment*
By Dreifort on 1/28/2009 2:14:15 PM , Rating: 3
There was a TV show on one of the cable channels a few years ago that followed jobs outsourced overseas. The show would follow individuals as they went to get their orginal job back -- in the other country.

One guy was making ~ $60k before he lost his job. He went to India and was told he was not qualified to get his original job. But they offered him a similar job and it paid ~$25K USD. He actually lived with the family of the man that took his job. They all lived together (as most families in India, all generations live together - 1st, 2nd, 3rd, etc..all in one home). It was a rough life style compared to what we are use to as Americans.

While the cities were modernized in India, there was a huge lack of government support as far as roads, utilities, etc. They were there - but in bad shape.

RE: *lightbulb moment*
By dflynchimp on 1/28/2009 3:20:36 PM , Rating: 2
well we better hope they put Homer Simpson in charge of the new Indian hirees.,_Bang_Banga...

RE: *lightbulb moment*
By stevenplatt on 1/28/2009 8:02:39 PM , Rating: 1
At the risk of a tongue lashing, i would like to submit a reality check...

As a business, IBM exists solely to deliver a return on investment to its shareholders...period. Laying off employees is showing that the company is capable of controlling costs and being profitable in a down market. The reality is that if IBM can cut high paid employees and still grow their business powered by new college grads or consultants paid at half the price, then the market will reward them. If this is not your reality, then quietly feed your dollars into a paper shredder. The free market seems to agree with IBM.

By rubyxc7 on 1/28/2009 1:06:39 PM , Rating: 3
They may be laying off other places but they're opening up a new tech center here and hiring on 1500 people.

My advisor has been going around asking for jobless students since demand seems to be huge at the College of Engineering.

RE: Interesting...
By FITCamaro on 1/28/2009 1:29:51 PM , Rating: 2
Just too bad its in Michigan. Nothing against the state I just have no desire what so ever to live there. Cold as hell.

RE: Interesting...
By Dreifort on 1/28/2009 2:07:34 PM , Rating: 2
IBM is a great company if get invested with them as an employee. They give out Rolexes to tenured employees and offer company discounts on everything such as the military personnel receives. I did some work briefly for IBM, but didn't get the opportunity for a permanent job with them. :(

I've relatives work for IBM (and get laid-off in the 90s), but they given a great severance package.

I feel it’s rare to find companies that invest so much in their employees (even if they have to downsize).

RE: Interesting...
By StevoLincolnite on 1/28/2009 3:59:06 PM , Rating: 2
I would have loved to have worked for 3DFX before they went west, they used to spend around $30,000 to $50,000 on Company lunches and non-essentials every month.

RE: Interesting...
By numbnuts on 1/28/2009 8:42:45 PM , Rating: 2
"Cold as hell" ???

I always thought Hell was supposed to be a hot place.

RE: Interesting...
By FITCamaro on 1/29/2009 8:01:12 AM , Rating: 1
Hell froze over the day American's elected a socialist to be their President.

RE: Interesting...
By skeeter123 on 1/28/2009 5:44:39 PM , Rating: 2
That weird, they are opening a tech center in Dubuque IA also. They said 1500 jobs to start. Up to 4000 possible.

Here's a suggestion
By ice456789 on 1/28/2009 2:32:33 PM , Rating: 4
Save the money you're spending on commercials about traffic tolls and trees, and put that money towards retaining key personnel.

Every time I see an IBM commercial I laugh. Who is the target of those commercials? You really think that people looking to hire a consulting firm for a multi-million dollar deal will be swayed by cartoon forest creatures and electronic tolls?

IBM's consulting model is the same as it's always been.
1. Get a small team onto a project.
2. Grow the scope of the project.
3. Get larger team on the project.
4. Perpetuate the project.
It's a great business model, but somewhere in there they forgot to help their customers. Most of the time they suck their customers dry like mosquitoes.

Yeah and Boeing just cut 10,000 jobs...
By Beenthere on 1/28/2009 1:33:26 PM , Rating: 1
It's only going to get worse as the U.S. leads the out-of-control downward economic spiral into a painful, long worldwide economic depression that will last years.

RE: Yeah and Boeing just cut 10,000 jobs...
By Mithan on 1/28/09, Rating: 0
By FITCamaro on 1/28/2009 2:52:15 PM , Rating: 2
The much of the world will starve then before we do considering we grow a large amount of the world's food.

Palisades, NY
By Classic68 on 1/28/2009 4:09:30 PM , Rating: 3
My dad is getting laid off along with 30 other guys in their hardware area. Palisades is mostly a conference center. IBM has been dragging them along for years about closing it. Hopefully he will move into another company that's still there.

Layoff machine
By Smilin on 1/29/2009 10:36:13 AM , Rating: 2
IBM is a layoff machine. These guys don't need an economic slowdown to lay people off. They'll spin up some project to create quantum binary farts and then layoff 5,000 when it doesn't work.

IBM lays off A LOT

Massive Layoffs are RIGHT
By dsraa on 1/30/2009 10:06:10 AM , Rating: 2
I work for IBM as a contractor, and its certainly no lie that they are laying off a TON of people. I heard that they are laying off about 50-60 people at EACH Site in the NY Metro Area. It pisses me off to no end, especially since managers and VPs take off atleast one day a week to "work at Home".

Every week, Fridays are like a Ghost Town at IBM.....its ridiculous!

"Vista runs on Atom ... It's just no one uses it". -- Intel CEO Paul Otellini
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