IBM Begins Cutting U.S. Jobs in $1 Billion Restructuring
International Business Machines Corp. (IBM) began dismissing U.S. workers today, part of a $1 billion restructuring to help the company meet profit goals as it adapts to shifts in the technology industry.
Workers in New York, Vermont, Minnesota, Iowa, Missouri, Oklahoma and North Carolina were fired today, according to Alliance@IBM, an employee group. The Armonk, New York-based company had a headcount of 431,212 at the end of 2013, down 0.7 percent from a year earlier -- its first decline in a decade.
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The company has already begun eliminating positions this year in Europe, Asia and South America, according to Alliance@IBM. Worldwide, this year’s job cuts could lead to the elimination of at least 13,000 employees, Toni Sacconaghi, an analyst at Sanford C. Bernstein & Co., said in a Feb. 3 report.
Rometty is seeking to transform IBM as clients shift to storing their data and applications offsite, or in the cloud, rather than buying their own servers.
“IBM continues to rebalance its workforce to meet the changing requirements of its clients and to pioneer new, high-value segments of the IT industry,” the company said in a statement today. At any given time, IBM has more than 3,000 job openings in its growth units, including its cloud business and nanotechnology, the company said.
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http://www.bloomberg.com/news/2014-02-27/ibm-begins-cutting-u-s-jobs-in-1-billion-restructuring-plan.html
