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In the letter: IBM already laid off some of its US workforce earlier this year due to the coronavirus pandemic. The company is said to be planning an even more dramatic series of job cuts in Europe to preserve the long-term health of its business.
IBM last month showed how struggling to stay relevant in the industry by announcing a strategic split into two separate companies. The first would be the legacy company that will continue to serve more than 4,500 corporate customers, and the second, called NewCo, will be responsible for innovating in the area of cloud computing managed services and machine learning.
This week, a Bloomberg report found that the company also plans to cut around 10,000 jobs in Europe to lower operating costs and streamline the fallout process. This is a significant reduction of 20 percent of staff working in the region, and will affect the UK and Germany the most, while cuts are also said to take place in Italy, Belgium, Poland and Germany. Slovakia.
So far, IBM has refused to acknowledge the report and has only confirmed that broad structural changes are possible if they are beneficial to its long-term vision of providing hybrid cloud services. A spokesperson told Bloomberg that “our staffing decisions are made to provide the best support to our clients in adopting an open hybrid cloud platform and AI capabilities. We are also continuing. to make significant investments in training and skills development for IBMers to better meet the needs of our customers. “
Unfortunately, this means that if you work in IBM’s day-to-day infrastructure operations for old IT contracts, you might not fit into the new business strategy, which is based on Red Hat’s recent acquisition of 34. billions of dollars.
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