US financial meltdown: IBM to cut 2,800 jobs

Written by: Super Admin
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Boston, Jan 27: Hit by United States financial meltdown, world's biggest technology services company International Business Machines Corp (IBM) is set to cut about 2,800 jobs specially in North America. Nearly 70,000 people lost their jobs on Monday, Jan 26 all over United States of America. It is being called as 'the Bloody Monday."

Doug Shelton, IBM spokesperson on Monday, Jan 26 confirmed that the company has informed some of its employees last week that their position were being eliminated. But he refused to comment on how many position were being cut.

Lee Conrad, National Co-ordinator for the Alliance at IBM said that the job cuts in IBM are evenly split between its software division, sales and distribution units. His group is a local chapter of the Communications Workers of America that is seeking to represent IBM's employees. Conrad said more layoff may be announced specially at the IBM's hardware division.

Shelton said that IBM's business is such that it need to assess the skills of employees constantly also resources to make the company match with the current and future needs of the clients. "Managing talent in this way keeps IBM competitive, which we know is very important - especially when the economy is in a downturn," he added.

30-90 days of notice was given to laid off workers. They were also encouraged to apply for the other jobs within the IBM and will be granted severance packages upon leaving the company. But Shelton did not reveal the details of the severance packages.

OneIndia News (With inputs from Agencies)

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