News

Reports: IBM Cutting Jobs, Some in Rochester

A union that represents IBM employees recently reported that the company is reducing its work force across four divisions, including one that has a location in Rochester.

Alliance@IBM, a union representing IBM employees, recently reported that the technology giant is reducing its work force across the country-including at its systems and technology group in Rochester-as it gears up for its 100th anniversary.

Lee Conrad, national coordinator of Alliance@IBM, told Twin Cities Business on Friday that the organization does not know exactly how many employees are being cut. But he estimates that it's between 600 and 800 nationwide based on documents his organization has received from laid-off workers.

"Only IBM knows [the number], and they aren't talking," Conrad said.

Conrad said it appears that four IBM divisions will be affected by the layoffs: the systems and technology group, the global business services group, the global technology services group, and the information technology services group.

The systems and technology group has offices in New York and Rochester, according to Conrad, and that specific group is believed to have cut about 75 employees. Posts from IBM employees on Alliance@IBM's Web site indicate that the cuts have already hit workers in Rochester, although it's unknown how many of the estimated 75 laid-off employees worked in Rochester and how many worked in New York.

Conrad said that IBM does operate other divisions in Minnesota-including business continuity and resiliency services in Eagan-but employees within them do not appear to have been affected by the recent layoffs, based on Alliance@IBM's communication with employees.

An IBM representative wouldn't discuss the job cuts, citing company policy.

"IBM rebalances its skills and resources throughout the year to ensure that we meet the evolving needs of our clients," the company said in an e-mailed statement. "IBM does not comment publicly on details of its staffing plans or headcount."

IBM, which is based in Armonk, New York, reported revenue of $99.9 billion in 2010 and has a total of 426,751 employees.