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IBM to show more employees the door

by on28 January 2009

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Second round to start in the next few days

Big Blue will start a second round of layoffs in the next few days if our sources are correct. The word is that the layoffs will come from the continued consolidation of operations. So far, the cuts appear to have been spread across multiple divisions and locations.

Our sources say that you can look for additional heavy cuts in the Systems and Technology Group this time around, with other divisions to likely be hit as well. Some have suggested that the cuts will run through the next couple of weeks and could actually reshape the landscape of the company internally.

Still, not all of the numbers are actually known with IBM not releasing the exact numbers of employees being let go or the particular locations. From what we have been able to gather, the numbers in the last round of cuts could have been as high as 2,800 and may have even been a bit higher than that.

Even some big players like IBM are being forced to trim the rolls to help the company better weather the expected downturn in the economy. With all of the cuts it is expected that the company believes that getting lean is the only way for the company to turn an acceptable profit.

Some analysts are starting to suggest that IT spending could turn around a little in the fall, but most are standing by their prediction that 2009 will be a difficult year for the IT market space.

Last modified on 29 January 2009
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