Thread regarding IBM layoffs

It's Watson Health redeployment all over again. No new tricks. May inform timeline

The Watson redeployment: https://www.theregister.com/2022/08/29/ibm_allegedly_hid_watson_health/

Aside from Gini axing it as not immediately profitable (it's the kind of long term project IBM would have sunk it's teeth into) it's very imformative.

Read that link and then come back here.

Loosely

  1. 3 months ended the "unlimited time to look for a job" - followed by
  2. subsequent RA to those orphaned (or unwilling to relocate or ...) with 3 months severance

Difference is current is non product but headcount redeployment to "critical product" limited open requisitions.
Similarities are shedding employees past open requisitions.

My forecast is based on IBM history:

  1. 3 months (of "unlimited time") so Dec/Jan/Feb (max)
  2. RAs announced end of Feb - with severance but ?? no additional search time ??
  3. So 1-3 months severance (perhaps in consideration of "you failed job search already")
  4. Written off end of Q1

Resulting "Paid" is likely through end of March and possibly also April if not May.

That is my crystal ball - and hope - as last downturn it took me ~ 3 months to find a suitable preferred job (rather than cr-p).

Make no mistake - this is out of IBM's playbook - and 1/3-1/2 of Systems headcount will be shed to the outside market.

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| 2402 views | | 2 replies (last December 12, 2022) | Reply
Post ID: @OP+1jTeBRxw

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So how best to play out out? I mean if this is a long RA then I want my (short) severance.

Perhaps apply to some job a week to show intent?

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Post ID: @gpss+1jTeBRxw

I believe you are very close on your numbers. IBM is calling it a different name, but it’s the 2016 offering all over again. 2016 = 90 day notice with 30 day severance. Now it’s going to be 90 day find a job with a 30 day severance if you don’t find one. Everyone will be out by end of March. The only saving Grace will be if IBM finds a buyer for a piece of the systems business. IBM has been shopping it quite hard, but their initial asking price is way off base for a shrinking but still quite profitable business when compared to Intel. Remember IBM initially asked 6 billion for the Intel server business, but settled for 2.3 billion with Lenovo. There is incentive for IBM to sell, and that is they capture sunk costs via an IP deal, and they drop the existing headcount for almost nothing. If a sale is to happen, it most likely will go down in January. Stay tuned as the final turn of the restructuring wheel is now playing out

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Post ID: @cev+1jTeBRxw

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