Thread regarding IBM layoffs

I am not an IBMer, but you have to realize IBM has been doing this for decades. Even if you weren't let go, you need to do a couple of things during your working years to survive. Invest in the stock market long term. Don't yank the money out after it climbs and don't yank it out when the market crashes. Over time, it always rises. No matter how rich you are from your big paychecks, don't live like you make it. A 10 year old car in good working order beats a new fancy car with a car payment. Keeping up with the neighbors only brings stress from over extending yourself financially. As soon as possible, get debt free. Lastly, develop a skill outside of your career so when you do lose your job you can find one fast that pays the bills until you can find one in your line of work. If that still exists. I've known upper management types who never thought they would lose their jobs ending up at the corner convenience store because after years of unemployment they still couldn't find a management job. Another, who was a wiz programmer became a long haul trucker and kept his income close to what he had been making. He didn't have to sell his house or go into debt.

@dh The answer is easy IBM executive egos are fragile and the board allows the IBM exec’s to focus internally vs externally. Always have, and most likely without an external CEO always will.

@de if it's all about costs, why doesn't IBM management also slash the executives oversized bonuses and perks. After all, why does Arvind need a multi-million dollar bonus in early 2026 ? AI can easily replace him, and do a better job too. After all, it should be pay for performance.

@OP it's only a small low digit percentage to the IBM bean counters and spokesperson but it's an enormous disruption for the rest of people impacted. Lives upended in America for 9000 middle class folks losing their jobs, while Alvind and his merry Pipmunks will create 10000 jobs or more in India and try to justify it. This is what IBM and McKinsey have created. There should be consequences for all these actions.

No matter what IBM management says, the overarching reason for the RA’s is “its all about costs” Labor is still viewed as the number 1 cost and IBM management is focused on it. Overall you can see where IBM is heading and its enterprise focused. Nothing else enters into the spreadsheet equation. With that said here are a few predictions

1. Cloud (except for mainframe) will be partnered off
2. Scaleout offerings and all of their costs will be partnered off
3. Skills are equally distributed around the world, so IBM will continue to pursue “who will work for less”
4. Infrastructure will be absorbed into Consulting
5. IBM says USA headcount will remain flat. If true that means IBM is going to buy someone quasi big to replace the 5-8k worth of heads just removed

@a5 Today the lucky IBM winners are Infrastructure and Cloud, just wait for 6 to 12 months and the new winners will be AI and Quantum. And the cycle will then repeat with new winners.

And it won't be a surprise. Pathetic leadership always generates pathetic results - at IBM, it is guaranteed. Just see what happened to the toast of the town, Red Hat. Billions of dollars down the toilet and the IBM CEO gets oversized bonuses every year, for doing zilch.

@a4 of course - 5:1 body count vs. US talent. (read - cheap labour)

The register just published targets of 45% in infrastructure and 50% in cloud. Don’t know where they sourced this from, but if true Power and non-mainframe cloud are in the bullseye

@a2 it's always the most hits in the US, nothing much elsewhere and always 0 in India.

Low single digit = 4.99%. And that's "global workforce" meaning probably 10%+ in the US and 0% in India.