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6, 2000 April, 2000

Highlights—April 5, 2014

  • Poughkeepsie Journal:

    Report says IBM selling chip branch. East Fishkill plant's future seems uncertain again. By Craig Wolf. Excerpts: With a fresh report claiming that GlobalFoundries is the leading candidate to buy IBM Corp.’s chip manufacturing business, the future of the East Fishkill plant once again appears up in the air.

    On Thursday, the Wall Street Journal said that GlobalFoundries appeared to have the strongest interest in a deal with IBM, citing unnamed sources “familiar with the matter.” GlobalFoundries has a major plant in Saratoga County and business links with IBM Microelectronics. ...

    The deal, if it pans out, would likely focus on the Hudson Valley Research Park, IBM’s major chip fabrication plant in East Fishkill, as well as other parts of the semiconductor manufacturing business. IBM has a major chip complex in Burlington, Vt. ,,,

    A Bloomberg Industries analysis of federal contract data shows government purchasers of IBM BladeCenter servers include the Pentagon, the FBI, and the Department of Homeland Security.

  • The Verge:

    Lenovo's bid for IBM server unit reportedly sparks national security concerns. By Jacob Kastrenakes. Lenovo's deal to purchase IBM's server unit will face strong regulatory scrutiny over national security concerns from the US government, reports Bloomberg. The United States has closely scrutinized past deals in which foreign bodies proposed the purchase of a major infrastructure of telecommunications company. In this case, the use of IBM servers by the FBI, Pentagon, and US telecoms is reportedly behind the raised concern. The interagency Committee on Foreign Investment in the US will reportedly be reviewing the deal.

    In addition to the use of IBM servers at government agencies, Bloomberg reports that the committee will investigate their usage within critical US infrastructure, including chemical plants and electric companies. Regulators' primary concern is likely that the purchase could allow China, where Lenovo is headquartered, to access US secrets or gain control over its infrastructure. Lenovo previously purchased IBM's ThinkPad business in 2005.

  • Bloomberg:

    Lenovo-IBM Deal Probed by U.S. Over Servers at Pentagon. By David McLaughlin and Alex Barinka. Excerpts: Lenovo Group Ltd. must convince government officials that buying a server unit from International Business Machines Corp. won’t give China back-door access to U.S. secrets and infrastructure.

    The wrinkle is that the Pentagon, the FBI and the nation’s biggest telecommunications companies buy the IBM servers, according to people familiar with the matter and an analysis by Bloomberg Industries.

    Use of the servers by the government, telephone networks and other potentially sensitive customers will spark close scrutiny from the interagency group known as the Committee on Foreign Investment in the U.S., which investigates national-security risks of foreign acquisitions of domestic companies.

  • Smart Pensions UK:

    Trustee Update – Project Waltz Legal Proceeding – 4 April 2014. Summary of the Judgment: The Judge concluded that IBM had the right to exclude all active members of the defined benefit section of the Main Plan, and the I Plan, from being active members of the Plans.

    However, the Judge also concluded that the way in which IBM announced, consulted, and implemented the Project Waltz changes was in breach of its Imperial duty of good faith to its employees, and that IBM also breached its implied contractual duty of trust and confidence of its employees.

    A more detailed summary of the issues which were before the Court, and the Judge’s conclusions, are set out below. ...

    In his conclusions, the Judge has described the legal test which needed to be applied to determine whether IBM had acted in such a way as to breach its so called Imperial duty of good faith to its employees as being one of “irrationality and perversity”. To put it another way - no "reasonable" employer would have acted in the same way that IBM acted in the communication and implementation of Project Waltz.

  • IBM Alumni Ex-IBM database. Excerpts: The first printed copy of the IBM Alumni Directory was published in 1974 and received widespread publicity in Business Week, Forbes, Wall Street Journal and other business magazines. ...

    Fast forward 40 years: IBM Alumni data is now on the Internet.

  • The Register:

    Oracle shoves IBM out of world's No 2 software seller spot – Gartner. Larry Ellison squeaks in behind Microsoft, Salesforce breaks into top 10. By Gavin Clarke. Excerpts: Oracle sold more software than IBM last year for the first time ever, making Larry Ellison’s database giant second only to Microsoft, at least according to analyst Gartner.

    Oracle made $29.6bn during 2013, growing 3.4 per cent over the previous year and elevating it from world’s third largest to second-largest software vendor.

    IBM, which had been world number two, fell one place to third – just behind Oracle on revenue of $29.1bn, representing a growth of just 1.4 per cent. ...

    Salesforce earned $3.8bn during 2013, an increase of 33.3 per cent on the 2012 number. Last year, Salesforce was outside the top 10, at number 12.

    The company is the antithesis of Oracle and IBM, which has made a business from CRM sold not as an installable piece of software but as a service. This is the first time a cloud or SaaS providers has made it into Gartner’s top 10. ...

    Microsoft remained the world’s biggest software maker, earning more than twice as much as IBM or Oracle: $65.7bn, an increase of six per cent. ...

    Particularly painful for IBM will be the fact is Gartner reckons Oracle’s growth has come from big data and analytics. IBM has been pushing both, through sales of things such as its SPSS predictive analytics software and initiatives such as Smart Cities.

  • Fox-45 TV Baltimore:

    Political Analysts Keeping Close Eye on 'Blame Game'. Excerpts: Now that state officials have decided to scrap Maryland's health exchange website many are wondering what this will mean, not just for taxpayers, but for politicians — especially those who had a hand in overseeing the site.

    On Tuesday night state officials decided to call it quits on the problem-plagued Maryland Health Exchange website. After months of excuses and millions spent on fixes, Governor O'Malley and Lieutenant Governor Anthony Brown were quick to blame the vendors who built and maintained the site, even threatening lawsuits. Political analysts are closely watching the "blame game." ...

    "This is the stick they have to beat up Anthony Brown," Lee said. "And Anthony Brown has no answer. No credible answer. Blaming the contractors. Blaming IBM is not going to stick. He has to explain to people why $126 million dollars was wasted on an Obamacare exchange that we've now thrown into the trash heap."

  • Washington Post:

    Large employers are getting their premiums under control, but you’re probably paying more. By Jason Millman. Excerpts: With all the talk about rising premiums, a new report from the ADP Research Institute this morning might surprise you.

    The average monthly premium cost for large employers rose just 1.7 percent this year, according to the ADP Research Institute. The average cost has risen 15 percent over the past five years, but this year’s increase was the smallest in that time. ...

    "The biggest finding for me is, it's how steady the larger companies are dealing with their health premiums," said ADP vice president David Marini. "The report this year was pretty steady and no major fluctuations."

    But it also means that you're probably paying more. This chart shows that the employer contribution has been gradually declining for all age groups in the past five years...

  • Glassdoor IBM reviews. Selected reviews follow:
    • “Waste of time.”

      Staff Engineer (Current Employee) Essex Junction, VT. I have been working at IBM full-time for more than 8 years. Pros: Surrounded by intelligent people. Most coworkers are friendly. Flexible schedule depending on your manager. Cons: Old Boy's club exists on the manufacturing side; bad for female employees. IBM does not invest in this sector of the company. 5% change in salary since starting salary eight years ago. Lack of opportunity to succeed. Long hours with no appreciation. Advice to Senior Management: Instead of threatening your employees that want to leave because of the bad work environment, try making the work environment better.
    • “Excellent people, management without conscience or a clue”

      Technical Solutions Architect (Former Employee), Chicago, IL. I worked at IBM full-time for more than 10 years.

      Pros: Benefits are very comprehensive, including work-from-home for many positions. Vacation time is decent and overtime is reasonable (it happens, but not excessively). Colleagues tend to be smart, and low-level management (first and second line) tend to be good.

      Cons: IBM has been working as hard as it can for a decade to destroy its internal talent and expertise. Upper management actively suppresses any contrary views or problems from bubbling up the management chain. US workforce has shrunk breathtakingly; there is no career advancement or even lateral movement; reorganizations are *constant*, and education and development is either non-existent or taken away with the next reorg. Massive outsourcing with no care taken for quality of hires.

      Then there's the constant selling off of divisions (Global Network, Network Services, Hard Drives, PC's, Intel Servers - and that's just during my tenure).

      New companies are acquired constantly but never integrated into a cohesive whole, leaving a mishmash of overlapping pieces that do nothing to benefit each other; many ultimately decay into nothing and vanish.

      Strategy shifts constantly, organizations, products, and offerings rename rather than reform or improve. I honestly doubt there will be anything left of this company within a decade.

      On a personal level, compensation is significantly below market. Bonuses (aka "variable pay"; project bonuses disappeared a decade ago) are consistently below 2% even for top performers (annual rating of 2+). Salary increases are non-existent. My gross pay went up less than 3% total over a period of five years, and 70% of my years there increases trailed inflation (i.e., real income dropped).

      Advice to Senior Management: Come up with a strategy (other than "boost the stock price") and stick with it. Stop re-organizing and laying off divisions. Focus on letting your very smart people accomplish great things. All of this will be harder as the company shrinks and loses talent through layoffs and attrition.

    • “Only strategy going is one of cost reduction”

      Project Manager (Current Employee), Cherry Hill, NJ. I have been working at IBM full-time for more than 10 years. Pros: Great and intelligent people to work with. Gain experience in different business sectors. Some training but it is mostly online. Cons: The annual review process is used as a hammer to prevent pay raises rather than to inspire and promote. Continually raising utilization targets which in effect, negates your vacation and holidays. You could be laid off at any time without a good reason. Advice to Senior Management: People are your greatest assets; start treating them as such.
    • “Good place to begin a career”

      Software Engineer (Former Employee), Poughkeepsie, NY. I worked at IBM full-time for more than 5 years.

      Pros: IBM is still a leader in many technological fields, and can be an excellent place to build your skills and confidence as a developer. There is also a concentration of raw brainpower in certain parts of the company which would be difficult to find elsewhere - which can be a challenge just to keep up with, but also makes possible undertakings that few companies would dare attempt (much less pull off successfully). So while a job at IBM is not a "career for life" in the way it once was, it certainly can be a good starting point for your career. And once you've been an IBMer you will find you are always an IBMer (and that a lot of the tech world is just now catching up to things that IBM had figured out decades ago).

      Also, while the work/life balance sometimes leaves too little room for the "life" side of the equation, most parts of the company are at least very flexible about when and where your work is done.

      Cons: Upper management lacks any genuine concern for the company culture or quality of its offerings—having turned to ugly financial manipulations to prop up its P/E ratio where once IBM's business and valuation was built on its loyal workforce, reputation for service, and superior technology.

      You will make friends with good people and then have to console them through being victims of arbitrary cuts because the executive "leadership" at IBM seems to need someone (other than themselves, of course) to fall on the sword when there is an earnings miss.

      Compensation leaves something to be desired, as do opportunities for advancement when positions are being eliminated ahead of you rather than opening as vacancies that need to be filled. Less than a year after leaving IBM for a startup, I'm earning more than twice what I did at IBM and filling a much broader role than was available to me in my old department.

      That said, the skills (both technological and political) I developed at IBM have been critical to my success since leaving. So it's not a bad deal if you think of it as a wallet-friendly, hands-on alternative to graduate school (and make sure you're putting in enough effort to walk away with both you and the team you worked with feeling there's something to show for the time you spent there).

      Advice to Senior Management: Read Thomas Watson Jr.'s "A Business and Its Beliefs" (I'm sure there's a faded old copy lying around somewhere in Armonk) and stop running counter to everything that once made IBM great.

    • “Started off great thirty years ago when employees were valued, over the years shareholders became more important.”

      Senior Consultant (Former Employee), London, England (UK). I worked at IBM full-time for more than 10 years.

      Pros: Ability to work from home which gives flexibility. It gives good training to students but as soon as they become really useful many leave as the company culture does not value long term employees.

      Cons: Has become expense driven with managements sole focus being on earnings per share. Product development is compromised as costs are ruthlessly slashed. People are seen as an unnecessary expense.

      Advice to Senior Management: If you focused on your employees then you would find that customer satisfaction and earnings per share would take care of themselves. There is no long-term vision of where the company is going. Management is solely worried about what the stock markets will say.

    • “A company that truly does not care about its employees”

      Software Developer (Current Employee), Southampton, England (UK). I have been working at IBM full-time for more than a year.

      Pros: Laid back atmosphere, and stress-free environment.

      Cons: A huge corporation that comes with all the negatives with few of the positives. Has a mindset that is decades behind its peers; very stingy on pay, bonuses. Worst of all they treat employees as an expendable product and are happy to let their best employees leave if it saves them money.

      Advice to Senior Management: Respect your employees and you'll have a team of staff who actually wants you to succeed.

    • “Program Manager”

      Program Manager (Former Employee), Southbury, CT. I worked at IBM full-time for more than 10 years.

      Pros: Good starting salaries, benefits and vacation time. Enjoyed the opportunity to work from home which contributed to a good work/life balance. The majority of people I worked with were professional and worked very hard.

      Cons: Always worried about layoffs which happened regularly. Salary increases were rare. Appraisal rating skews hindered motivation. Meetings were usually conference calls; rarely met in person with employees or co-workers.

    • “Good company with stable lifestyle, but old-fashioned environment”

      Anonymous Employee (Current Employee). Pros: Good benefits and stable lifestyle. Cons: Environment is very traditional and old-fashioned, not many young people where I work. Advice to Senior Management: Hire more young people.
    • “Excellent”

      IBM Corporation (Current Employee), Austin, TX I have been working at IBM as an intern for more than 3 years. Pros: People are very friendly and are always willing to help you with anything you need whether they work on your team or not. Cons: Hard to get started up and know everything you need to do in order to get your workstation up and running correctly. Advice to Senior Management: Make on-boarding process easier and more educational.
    • “Somehow OK”

      Software Engineer (Current Employee), Brno (Czech Republic). I have been working at IBM full-time for less than a year. Pros: Ability to work from home. Casual work environment. Cons: Unmotivating; many processes takes too long. A lot of motivation bull**it coming to your mailbox. Impossible to find information by standard way in intranet; it is best to simply ask someone who knows the direct link. Many crazy policies. Advice to Senior Management: Reduce the overhead and processes complexity.
    • “Good for resume. Don't stay too long.”

      Program Manager (Current Employee), Singapore (Singapore). I have been working at IBM full-time for more than 8 years. Pros: Looks good on your resume. Cons: Salary frozen or marginal increase each year.
    • “Chasing your tail”

      Sales (Former Employee), San Diego, CA. I worked at IBM full-time for less than a year. Pros: Have every product and service anyone could ever want. Cons: Not a friendly place to work. Way too much time spent on internal conference calls versus spending time with customers and prospects. Extreme pressure.
    • “Good solid employment if not routine and dull”

      Software Engineer (Former Employee), Dublin (Ireland). I worked at IBM full-time for more than a year. Pros: Good benefits; training programs; flexible work/life balance. Cons: Ancient processes; red tape; behind the curve tech-wise; management very distant; no real idea about the big picture; Lotus Notes and all that slow bloatware standard crap they put on the laptops; stale hardware; inflated sense of self-importance from past successes which are now completely irrelevant.
    • “No interesting projects or career opportunities”

      Junior Consultant (Former Employee), Warsaw (Poland). I worked at IBM full-time for more than a year. Pros: Work-life balance, benefits, nice atmosphere. Cons: Not so many interesting projects; much time spent 'on bench'; typical corporate JEE projects. Advice to Senior Management: Appreciate your junior technical employees more.
    • “Reward you with more work, penalize you in your benefits”

      Finance (Former Employee). I worked at IBM full-time for more than 5 years.

      Pros: The only pro is great learning experiences; suitable for fresh grad.

      Cons: Higher management doesn't care about employees' benefits. Yearly increment and bonus below par; hence underpaid when you stayed long in IBM.

      Advice to Senior Management: The company has no vision under Ginni management. Laying off the ground people who perform the work for you and adding higher management will not save you cost and help company performance. Please accept the fact that company is not competitive enough in terms of pricing and customer satisfaction (given that you lay off employees who serve the customers).

    • “Sr Consultant”

      Senior Consultant (Former Employee), Costa Mesa, CA. I worked at IBM full-time for more than a year. Pros: Has a large customer base. Large resource pool. Extensive skills pool. Has a large network of offices. A very strong financial base. Cons: Average compensation. Not a great place for creativity and innovation. Managers often use intimidation as a technique. Motivation is a rare commodity. Advice to Senior Management: Management needs to shift perception from big to great
    • “Great potential, but unable to capitalize on it”

      Anonymous Employee (Former Employee).

      Pros: Great overall technical delivery capabilities; as with other firms, actual ability to execute depends on team assignments. No other company can deliver the combined capabilities of IBM's hardware, software and services businesses, and IBM Research's thought leadership.

      Cons: IBM seems to care less and less about its employees, evidenced by people being treated as "numbers", demanding ever increasing staff utilization and pooling consultants across industries to reduce cost and bench time. This is odd, as its biggest asset is its people. In addition, although leadership claims to want IBM to be more relevant to its clients, which (in my view) requires investments to explore opportunities with those clients, the focus (in the services biz) continues to very much be on sales and delivery of large, profitable projects. In addition, HR is advocating organic growth, but has done little to improve the archaic and onerous process by which consultants' career advancement is managed/controlled.

      Advice to Senior Management: IBM should consider policies that improve employee morale and facilitate career advancement. Management should also consider implementing more promising growth strategies rather than continuing to maintain the push for $20 EPS by 2015 as seemingly its main objective. Investors would benefit more from attainable long-term growth strategies, enabled by IBM's clear and proven thought leadership, than from cost takeout and stock buy-back initiatives.

    • “Mixed bag, few opportunities or rewards for strong performance”

      Financial Analyst (Current Employee), East Fishkill, NY. I have been working at IBM full-time for more than 10 years. Pros: Interesting work; wonderful flexibility to manage own schedule and location' better-than-average benefits. Cons: No career paths; over time even the best performers do not get raises that even keep up with inflation; near-term spending focus at expense of long-term business; senior management disdain for employees.
    • “Excellent company and enjoyed the project and the people.”

      Business Analyst (Former Employee), Waltham, MA. I worked at IBM as a contractor for more than a year. Pros: Learn the very latest applications. Cons: Meetings were often late due to a lot of offshore folks. Advice to Senior Management: Communication is key so that is great so it was great having the weekly meetings with senior management.
    • “Going through a rough patch and difficult to recover”

      BI Solutions Architect (Current Employee), Des Moines, IA. I have been working at IBM full-time for more than 5 years.

      Pros: Well established systems that work really well. Expense reimbursements are pretty much clockwork. Travel agency does a good job.

      Cons: Second straight year with 10,000+ layoffs or resource actions as they call it. Layoffs seemed to be random since some people had 75%+utilization and already booked on projects for most of current year, but they were still laid off. They also had good performance ratings the past few years. Too much self service and hard to get a hold of competent people to help with questions. Must rely on your own network to get some things done.

      Advice to Senior Management: Better compensation. Instead of mass layoffs how about spending some time identifying good employees to retrain. Figure out what direction you want to take because current 7-year plan does not seem to be working.

    • “Used to be fabulous”

      Anonymous Employee (Current Employee). I have been working at IBM full-time for more than 10 years.

      Pros: The only positive element working at IBM at this time is the people you work with who are all in the same boat you're in.

      Cons: Executive Management is too focused on their own measurements and not looking at growing the business. The more discerning Wall Street analysts are starting to figure out that these people are chasing a target rather than focusing on growing the business. The work environment is so awful that the people who are getting laid off actually feel better than the people who are left. Once they hit their coveted $20 EPS and these bunch of Yo-Yo's leaves, IBM will again return to being a great place to work.

      Advice to Senior Management: Let's see...you're missing revenue so you layoff your sales teams. Brilliant.

    • “Nice to have in your resume but at a very high cost in terms of workload, poor internal communications and old systems”

      Senior Consultant (Former Employee), Cambridge, MA. I worked at IBM full-time for more than a year. Pros: Competitive salary and good benefit package. Cons: Turnover is high. Work-life balance is really difficult in the consulting practice. Every day I heard a lot of complaints about the company, especially from employees that were there for several years.
    • “An old-fashioned organisation which emphasis own process rather than priority on business”

      Service Delivery Manager (Current Employee), Cyberjaya (Malaysia). I have been working at IBM full-time for more than a year.

      Pros: The brand and name of "The Big Blues". Working in this organisation will make your CV looks nice.

      Cons: Reluctant to change, poor management, no trust, no enablement, no open culture and very poor benefits.

      Advice to Senior Management: Hire some competent management and throw away your mindset of, "We are IBM, we are the greatest".

      You are still the greatest because of the foundation build by your pioneer employee 100 years ago. Things have changed and changed fast! Adapt the new way of doing business in this industry and trust your employees more.

    • “Very Good Company for work environment”

      Senior Advisory Consultant (Former Employee), Pune (India). I worked at IBM full-time for more than 8 years. Pros: Flexible work environment; Work from home; Onshore opportunities; Can scale high if you have good public relation. Cons: It's a big ocean where you have to fight for your fortune. Company policies are more process oriented not people oriented. Pathetic HR interaction. Advice to Senior Management: HR needs to be more active in terms of people issue.
    • “Good Place to start a career”

      Financial Analyst (Current Employee), Somers, NY. I have been working at IBM full-time for more than 3 years. Pros: Great SQL experience; opportunity to grow and get involved. Cons: Promotions are not based on effort put in. Lots of resource actions. Lots of red tape, low pay. Advice to Senior Management: Care about employees and not yourselves. Don't make dumb investments.
  • Glassdoor IBM Canada reviews
  • Alliance for Retired Americans Friday Alert. This week's topics include:
    • Paul Ryan’s April Fools’ Day Budget Would Cut Medicare Dramatically
    • Alliance co-hosts Conference Call, Members Rally to Increase the Minimum Wage
    • Affordable Senior Health Insurance to Supplement Medicare - Annual Open Enrollment Period Extended Until April 30, 2014!
    • Florida Alliance Members Meet to Address the State’s Severe Economic Problems
    • Fiesta Speaks to Teachers in New York
    • Alliance’s National Convention is April 28 – May 1, 2014 at Bally's Hotel Las Vegas
New on the Alliance@IBM Site

Job Cut Reports

  • Comment 03/30/14:

    To JazzOrGlobal: They are also doing a lot of "staging around BTV" . People in Vt should be happy someone wants to buy the plant, it's old.. very old and as NPR said probably only has 5 or so good years left anyway. People in BTV should be positioning themselves for an exodus no matter who buys it if they are young enough to do so. I was let go in EFK a few years ago miss the fine workers and friends at IBM, but not IBM . Good luck BTV ! -John-
  • Comment 03/30/14:

    While many complain about RA, PBCs, GDP, I believe there are even bigger lingering motivation issue with employees. Many of us are struck with same position for years, with managers failing to vacate their positions for decades (until they retire or die). There is really no career planning progression to 90% of the workforce except for the execs. I would say if you are in 30-49 years of age group, Career in IBM is really your career killer. Any alternative views? -Anonymous-
  • Comment 03/30/14

    : I am quickly learning that IBM is not the great company I thought it was. Apparently it was at one time, but that time has passed years ago. It is not the leaders of today's version that brought it down, but rather the Board and the leaders combined over the years with the incentives that drive their success factors that have led to the company we see today. That is hard to reckon with as an employee because besides organizing there is nothing we can do as individuals. Holler and scream all you want at Ginni and her cronies, they are getting paid and congrats from the Board. In fact, they are successfully meeting the Board goals. Our choices - organize or quit. -Concerned IBMer-
  • Comment 03/30/14:

    "Why was I so gullible to not think the new plan would NOT give me the same or more money at retirement (unless perhaps if interest rates had skyrocketed." YOU were not the only one hoodwinked by IBM! Well, IBM tried to "sell" the cash balance plan to just about EVERYONE as being a "cost neutral" conversion implementation meaning it didn't hurt the future retiree based on a 6% average yearly return on the cash balance account which IBM supposedly "front loaded". IBM also said they did not do it to save money originally and then said it saved about $200M in "administrative costs" by switching to a cash balance pension plan from the defined benefit plan. P.S. the YTD return for the cash balance plan is now only 1.1%. The formula is USA T-bill rate + 1% still. -da_facts-
  • Comment 03/30/14:

    Just got laid off after only 9 months on the job, and when I received my severance checks, surprise surprise, they took out over 2000 because of the mobility package. When I signed the contract , it stated I would have to pay back if I quit or was fired, but they laid me off. Can anyone explain how they can legally do this? -Jobless and now broke-
  • Comment 03/30/14:

    Here is a comment from about 2005 that was posted in one of Alliance's "Archive Visitors Comments" section. Looks like even upper management was not happy about what IBM was doing to its workers:
    "As a third line manager in RTP with over 25 years of service with IBM, I find it unconscionable, that I am asked to stand before a group of employees and announce that we are creating a new career position for my operation and how exciting this is for all of us.

    What isn't said outright is that there will only be a limited number of these positions open to the current population, and as soon as they are filled you can certainly count on the rest of what Corporate now considers the back office work will move to Brazil. When does all this stop? How long can we hide this from our customers as we have tried to do for the past year? I am afraid that Sam is going to box this company into a position that we will all regret in years to come

    Editor's note: Alliance@IBM has no way of knowing whether or not these comments are actually from a 3rd level manager. However, our members and supporters have been making these same observations for some time. IBM needs to stop offshoring..." -BlueEyedBlindness-

  • Comment 03/30/14:

    Today was my last day at IBM. As I was walking in for the last time, it was sort of strange seeing the weekly group of new hires lining up for New Hire Orientation. IBM doesn't want you unless you are paid a very low salary. Sales teams were swarming the building trying to close stuff for the quarter. Funny that for the other ~89 days of the quarter, you don't see them around, working with such a feverish pace. -Surreal feeling-
  • Comment 04/01/14:

    -Surreal feeling- Like lambs to the future slaughter...New Hire Orientation is New Hire Brainwashing except I don't think IBM can afford the new test flavor of their Kook-Aid! They have to use every last $0.001 to getting to EPS $20. - BigBlew-
  • Comment 04/01/14:

    I'm a z FTSS (or CTS) who was RA'd. I think IBM is making a mistake in believing that they can depend on Business Partners to sell IBM products for them. For years I've seen people in the field working hard to help sell BP proposals. In one account I am aware of (and I believe there are others) all the selling was done by IBM and the BP just took the order. Now with the co-sell model, more of the selling responsibilities will have to be performed by the BPs because the IBMers who back stopped them are no longer there, and the ones who are left are spread too thin to cover all the customers.

    And, despite what IBM management might want to believe, the BPs follow the path of least resistance. If they are trying to sell IBM storage, and the customer is leaning towards a competitor, with no IBMer working with them and the customer, the BP will gladly and happily sell the competitive product. They have neither the time nor the inclination to invest the resources in a customer that it takes to convince them that IBM has the better product. -anonymous-

  • Comment 04/01/14:

    Yesterday was my last day at IBM Germany. It's a strength feeling. But I am not unhappy as the outlook for new jobs/opportunities are really bad. I've never understood the company strategy to reduce skilled people in major European countries while increasing it in Asia. Who is our customer? Regards, -WH-
  • Comment 04/01/14:

    IBM is still living off of the vast public perception that it is a stellar company to work for. Most of the public still believes it. The public largely doesn't even hear a peep of IBM layoffs in the USA. So the public still thinks IBM has a stable workforce where you can work a career there if you want. Nothing is farther than the truth. This IBM is far from your father's or mother's IBM! Bad news with IBM is released and watered down in sanitized spin press releases. So IBM's good perception is still existing, though eroding slowly due to the younger souls now around. Once the perception is gone so will IBM. -da_facts-
  • Comment 04/02/14:

    -da_facts- Actually, public perception about IBM is probably neutral bordering on unfavorable. While people may not see the rampant mismanagement we do, they're not seeing any distinguishing innovations either. Very little differentiates IBM from any other bloated corporation. -Ano Nymous-
  • Comment 04/02/14:

    Maryland Governor blames IBM by name on Fox45 local news for Maryland's Healthcare website failure. Says we will see IBM in court. -Exodus2007-
  • Comment 04/02/14:

    Don't talk about bonus or raises. Boy is that funny. A local manager has asked that the employees receiving a Top Contributor adjustment to not talk to other employees about it. They feel that talking about the top contributor pay raise would make morale even lower than it already is. Make any excuse you can to keep employees from talking to each other about what is wrong here. Yes, I got a top contributor adjustment and I AM A VERY PUBLIC MEMBER OF THE ALLIANCE. I am also very much aware that a few more of us will be tapped by the end of April. -Got Mine-
  • Comment 04/02/14:

    Unfortunately this round is not over. The names of people in NY state left out because of the deal with the governor are being revised now. Once legal gives the OK those people will be RA'd/fired like the rest of us. -Anon-
  • Comment 04/03/14:

    I've heard from a few folks that management has been saying the following. "at some point money is irrelevant, it's about the people you work with". What a bunch of BS. There's no money, ALL of the talent is leaving, and they treat us like $#!+... I don't see IBM recovering from this... -Anonymous Coward-
  • Comment 04/03/14:

    Rumors that IBM will start reporting severance pay as salary in all states. Good luck with filing for unemployment if that is true. -In The Know-
  • Comment 04/04/14:

    Let me TRY TO understand something: Once you are RA'd from IBM you no longer work for or nor are employed with IBM. Period. So how can severance pay be considered any way close to earned pay (work for compensation, i.e. PAY in legal tender)? If IBM is going to report severance pay as "work income" then they have to again announce age and numbers of those getting severance pay during an RA or drive by!!! What is happening in this country and with the USA Congress who does next to nothing?? It is getting worse than absurd! God bless America. How about God PLEASE SAVE America! -IBM$ucks-
  • Comment 04/04/14:

    Only IBM innovation left is how to do financial engineering to try to boost EPS at all cost. Is it also innovation how to wreck a corporation by these RAs? Haven't seen too many of those Smarter Planet campaign commercials lately. I guess those folks who say "I am an IBMer" can't say that anymore since they probably have been RA'd. -IneffectiveBusinessMeanderings-
  • Comment 04/04/14:

    Heard on a call this afternoon that there was a RA announced this morning that affected S&D where a number of client execs were affected that supported some large core accounts. -IBMer again-
  • Comment 04/04/14:

    Thanks IBM for laying me off. It was tough in the beginning, but found my self in the process and understood my value is much higher then what IBM used to make plus got separation of course ;) -H1B laidoff-
  • Comment 04/04/14:

    More cuts in Brazil today; Sales Transaction Support. Bid Manager roles being transitioned to GDCs. About 15 folks were cut this morning and more to come in the next months as more positions are being trained in Hortolandia center. -anon-
  • Comment 04/04/14:

    Net body count for GBS Australia Q1 was 550ish including RA's, voluntary leavers and the few hiring tickets. Q2 round is pending. And the pipeline looks poor, worst I've seen in the last few years. -Ozzie GBS Gal-
  • Comment 04/04/14:

    In order to get the magic $20 EPS, the latest rumor is that all technical sellers in SWG will go back on a leveraged pay plan for 2nd half. Management is trying to sell this as a wonderful thing...think about all the extra money you will make. What they don't say is that quotas will be cranked up accordingly so most will make far less than their pay before.

    Given the mass firings, 401k match down to once a year, etc., there is no way IBM would increase their payroll costs. Sure, a select few will come out ahead, but 90% will lose in this "deal". Many I know are looking to get out now. This is all so pathetic. - RoadKill_2015_Lives_Again-

  • Comment 04/05/14:

    The FAB sales may be the best thing for people still working in those areas. Having a company that would be willing to invest again in semiconductors would be refreshing, much like the way IBM invested in selling ASICs on the open market 20 years ago. -Still_Blue-
  • Comment 04/05/14:

    To -In The Know-: I was RA'd but was retirement eligible. I live in Virginia and applied for unemployment benefits. Wasn't sure if it would go through or not, since I indicated that I have applied for pension distributions (new plan). Much to my surprise, I do qualify for 26 weeks of unemployment benefits, per the letter I got from the State of VA today. - Retired/RA'ed-
  • Comment 04/05/14:

    RA'd after 38 years. I was able to retire, but the timing was not mine. I need 2 more years of employment. Question about unemployment in Texas. Does anyone know, with the lump sum retirement from IBM, does that kill eligibility for unemployment checks in Texas? - ihateibm-
  • Comment 04/05/14:

    To -No_Respect_For_The_Individual-: When I finally told my family that I was retiring from IBM, because I was laid off, the reaction was "Wow! I thought IBM was run better than that!". I had given them some insight into what was happening inside the company...info that I had not previously shared. I think IBM still has mindshare that it is a well run company, but we all know it's not the same company anymore, where decisions are made by the paper pushing accountants who know nothing about technology, yet they are the ones who make technology decisions for IBM now. -Perceptions-
  • Comment 04/05/14:

    He's probably wishing he didn't buy all that IBM stock. "A new statistical analysis of Mr. Buffett's long-term record at Berkshire Hathaway has just been done. For four of the last five years, Mr. Buffett has been doing worse than the typical, no-frills Standard & Poor's 500-stock index fund — so much worse that it's unlikely to be a matter of a string of bad luck. Mr. Buffett has begun to behave like an investor with no alpha at all." http://www.nytimes.com/2014/04/06/business/the-oracle-of-omaha-lately-looking-a-bit-ordinary.html -anonymous-
If you hire good people and treat them well, they will try to do a good job. They will stimulate one another by their vigor and example. They will set a fast pace for themselves. Then if they are well led and occasionally inspired, if they understand what the company is trying to do and know they will share in its sucess, they will contribute in a major way. The customer will get the superior service he is looking for. The result is profit to customers, employees, and to stcckholders. —Thomas J. Watson, Jr., from A Business and Its Beliefs: The Ideas That Helped Build IBM.

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