IBM is once again letting thousands of employees go in a potential new round of layoffs in the United States. The IBM Classic Cloud IaaS portfolio, among others, may lose a quarter of its total workforce.
Big Blue is once again cutting back on its activities and will be laying off many employees, The Register reports based on sources. Although the exact number of layoffs is not yet known, it is said to be in the thousands.
This group would have to report to an IBM office at least three times a week by the end of April of this year. According to the sources speaking to The Register, the affected employees would be strictly monitored by their managers.
IBM layoffs
It is not known whether this really is a new round of layoffs or whether the teams working on older products are being downsized. It is also possible that the potential new layoffs are part of recent rounds of layoffs that Big Blue is carrying out as part of its Resource Actions (layoff) processes through Return-to-Office measures and internal Co-Location requirements.
The layoffs are said to affect the Raleigh, North Carolina, New York City and State, Dallas, Texas and California locations.
Classic Cloud portfolio hit hard
According to sources, the layoffs would now also affect the company’s Classic Cloud IaaS portfolio. This portfolio, which builds on that of the acquired SoftLayer, would be a target for staff reductions at IBM. Approximately 10 percent of the workforce would be sent packing.
Teams within this portfolio that are likely to be affected are involved in consulting, cloud infrastructure offerings and sales activities, among other things.
At the higher corporate level, teams that deal with social responsibility and employees who report to the IBM CIO and work on internal systems would be affected.
The activities of IBM’s Classic Cloud would also be transferred en masse to India.
Legacy products under attack
IBM seems to be planning to make more cuts to its legacy product workforce. During its annual investor day, it recently announced that it will no longer publish the results of its Hybrid Platform & Solutions and Security products and services. This means that employees in these areas can also expect layoffs in the near future.
Last week, layoffs were announced for Big Blue’s marketing and communications department.
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