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IBM cuts keep growing; union exec 'at a loss' to predict if more are coming

Posted March 4, 2010

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— Reports of layoffs as part of a “resource action” across IBM (NYSE: IBM) operations in the U.S. continue to trickle in after a tsunami on Monday.

The latest group to join is the CIO Operations and Enterprise Portfolio Management group, which is cutting eight workers, according to data reported to Alliance@IBM, the union seeking to represent IBM workers.

These additions push to 2,552 across 23 groups. The employees were “RA’d” – Big Blue slang for being laid off – starting Monday. And what happens next is unpredictable, according to Lee Conrad with Alliance@IBM.

“I am at a loss right now to guess,” said the retired IBMer, who worked at the company for 26 years, when asked if more layoff news is coming. “It is possible.”

The Alliance@IBM Web site has been flooded with reports and comments from IBM employees about the layoffs.

While IBM cut 10,000 employees in 2009, many came in small actions.

But the size of Monday’s wave caught Conrad by surprise, even though he had been predicting that a “resource action” was planned.

“This is the biggest one-day cut I have seen in a long time,” he told Local Tech Wire and WRAL.com. “It is very disturbing, considering it doesn't have to happen. Many of these workers are losing their jobs because IBM sees no value in employing American workers."

IBM reported record profits for 2009 despite the global recession and a decline in revenues.

The running total of IBM cuts by work group as reported through Alliance@IBM:

• STG Technology Development: 24
• STG Sales Support: 80
• CIO Application and infrastructure: 160
• Software Group WPLC: 50
• Software Group Information management: 99
• GBS Global Account: 98
• GTS Security Systems: 41
• ITD Transition, Quality & Service Mgmt: 276
• ITD Application Hosting and Database: 158
• ITD Service Management Delivery: 66
• ITD Storage Management: 178
• ITD Distributed Server Management: 318
• ITD SSO (IDMM): 120
• GTS North America East IMT Region Maintenance & Technical Support: 66
• Sales and Distribution Headquarters: 73 ITD
• Complex Engagement Services: 34
• Tivoli: 51
• SWG Application & Integration Middleware: 119
• ITD Shared Services, Security & Risk Management: 216
• Sales and Distribution Global Sales: 57
• Human Resources Global Administration: 124
• STG Global markets: 12
• CIO Client Value Tranformation: 76
• Corporate Marketing & Communications: 48
• CIO Operations & Enterprise Portfolio Management: 8
• Total cut so far: 2,552

61 Comments

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  • SatelliteBgan Mar 4, 2010

    Dear IBM employees, I feel for you. I know what its like to be laid-off, twice, due to company moving out of country. I'll pray for you to find new work.

  • bulbous Mar 4, 2010

    reading these comments gives me little faith in the american people. so divided. so angry and hateful towards anyone that has a difference of opinion. what happened to a good debate? so easily it turns into personal and childish attacks. no wonder our government can not accomplish anything. we're so worried about making the other team fail so we can get into power, only to have the other guys try to bring us down. we sacrifice our ability to accomplish anything great. we'd rather cry about other opinions instead of realizing we do not have all the answers and maybe should have an open mind.
    if you always do what you have always done, you will always get what you always got.

  • JOBMO Mar 4, 2010

    "Hereisathought: Gee, thanks for making it even more likely that more of us will lose our jobs to underpaid foreign workers."

    What happpens when people can no longer afford your products because they have lost their jobs? Or they don't make big purchases because they're afraid they might lose their jobs?

  • JOBMO Mar 4, 2010

    "This is because unions are a cancer to the American free-enterprise system." -ncken1

    I think a more accurate statement would be that perhaps unions have outlived their usefullness. After all many of the job benefits you enjoy and take for granted today were the result of unions.

  • Here is a Thought Mar 4, 2010

    EverythingTicksMeOff > you did not bother to read the story as sales were NOT the Issue of the Layoffs - clearly and your response is irrelevant, Bother to read and reply responsively, not just to hear yourself spout-off !

  • EverythingTicksMeOff Mar 4, 2010

    Hereisathought: Gee, thanks for making it even more likely that more of us will lose our jobs to underpaid foreign workers.

  • Here is a Thought Mar 4, 2010

    It is time to crucify IBM where they both sit and stand. Refuse any and all products with the IBM logo or even associations. Make them confront the very issue they dole out to others; a loss of their jobs, positions and income.

  • yellowhorses Mar 4, 2010

    whatelseisnew -

    What country are you from? You obviously don't consider yourself one of us. Or are you the spin doctor for IBM and are maybe still working?

  • wildervb Mar 4, 2010

    "If IBM is smart they will continue reducing American employees as quick as they can get it done. It really is not excusable that they still have over 100,000 U.S. employees. I look at the bright side, it is less and less money that the Government can take and waste."

    Another NeoCon rooting for America's failure.

  • whatelseisnew Mar 4, 2010

    If IBM is smart they will continue reducing American employees as quick as they can get it done. It really is not excusable that they still have over 100,000 U.S. employees. I look at the bright side, it is less and less money that the Government can take and waste.

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