IBM’s Indian CEO Fires Thousands Of Employees; Even Artificial Intelligence Teams Are Killed
IBM has started firing thousands of employees, to save costs and to maintain their profits. As per some reports, entire teams working in enterprise Cloud, Artificial Intelligence and even teams working for Watson, their supercomputer has been terminated.
Where are these terminations and layoffs in IBM happening?
Keep reading to find out more.
IBM Fires Thousands Of Employees
IBM CEO Arvind Krishna, who recently took over as IBM CEO in April, has decided to fire thousands of employees.
Mainly, these layoffs are happening in the US, across major IBM hubs and campuses.
This is first time Arvind Krishna has taken the decision to fire employees.
The layoffs have been confirmed by company spokesman Ed Barbini as he said, “IBM’s work in a highly competitive marketplace requires flexibility to constantly add high-value skills to our workforce. While we always consider the current environment, IBM’s workforce decisions are in the interest of the long-term health of our business,”
IBM will extend their subsidized medical coverage to all employees who have been fired, till June 2021.
Severance packages have also been rolled out, but we dont have the details yet.
Where Are The Employees Being Fired?
As per available information, the majority of the layoffs happened across Pennsylvania, California, Missouri and New York states, where IBM have huge campuses, and thousands of employees from these locations have been asked to resign.
During this layoff, the designation, experience and skill-sets have not been considered, it seems. Employees who have been working with IBM for the last 20 years have been asked to leave.
A North Caroline based worker, whose entire team of 12 employees have been axed, said, “This was far ranging — and historical employment ratings, age and seniority did not seem to matter,”
During the Q1 of 2020, IBM’s revenue was $17.57, compared to $18.18 billion in Q1 of 2019. In the last 32 quarters, IBM’s revenue have fallen gradually, except 4 quarters.
No news of any layoffs from India has been reported as of now.
We will keep you updated, as more details come in,