Just got 30 days notice, reason plan changed and train people in Brazil before you leave.
When will this stop?
21 replies (most recent on top)
It is not racism when your US Middle class parents are paying taxes to the crooked politicians in Washington and yet AK, RT and Nickel and Dime are moving the plum development assignments to India to H1B via holders. That is outrageous and very unfair to Americans. Why should this be happening and H1B jobs go to India ? Why don't they do that to AK's job and some of the crooked exec jobs like those of JK, RT, JW, JA and the rest. Is India giving US IBM employees anything back in terms of financial remuneration for the jobs they steal ? I never saw that happen in Consulting. US jobs should not be given to India under any circumstances. We are not India's slave. The bottom line is that US jobs should stay in the US. Anyone feeling they would like to get Indian jobs should migrate and live there. I guarantee that anyone going to India will be sorely disappointed with the economy and lifestyle there.
Wow - The racism being spewed against Indians just for doing the job cheaper without the deep seated sense of entitlement that comes with most Americans on this board is horrendous!
After reading all these replies to this post, it is clear we are watching once a great company on a path to diappear. Following the footsteps of Kodak and many others. What a shame! :-(
Have you considered a job with IBM marketing ? They love new meaningless terms and words for the non-existent IBM ad campaigns. And JA loves to fire employees as soon as they start work. It's his vision of how Marketing should be run with a skeleton crew.
'AI is already a race to the bottom'
what is AI - it is just a fancy name to get d-mb investor money
a buzzword
please use terms like reinforcement learning, regression, principal component analysis, ...
remains to be seen if AI or quantum computing will be viable at all
AI is already a race to the bottom.
Quantum may or may not happen.
"Companies die off and new ones spring forth - it is how the circle of life goes on."
That is a fiction. We are not in an environment where we have small independent companies competing against one another. We may have been like that somewhat 30 years ago but not today. I agree IBM is a dead man walking, but a lot of companies are like that now (hollowed out) see Intel.
We have a government that gives bailouts and prints money with very little restrictions.
Large companies which are basically monopolies buy up smaller companies, strangle them in court, or purchase favorable regulations for themselves from their politicians.
Blackrock, State Street, and Vanguard control 22 trillion in assets and sit on the boards of most companies.
Major media is owned/controlled by a select few and we have rampant censorship.
"Universities" take donations from China and so called "investors" while practicing blatant racism.
Before you start saying look at the stock market, I suggest you look at the national debt, the credit card debt, auto loan delinquencies, and other similar debts. We are in for a wild ride soon.
Great observation for the new handbook ! there is no doubt that the Indians are constipated like ducks, so they do their business anywhere and everywhere in India. AK is the classic model for them to follow, since they have few, if any layoffs. If they did a few more layoffs for the needs of the business, they would all be reaching for the ex-Lax bottles.
I think of all the corporate comparisons you listed, the most apt is Novell. Just as Novell's fate was tied to Netware, IBM's fate will be tied to the mainframe. It remains to be seen if AI or quantum computing will be viable at all, but it's hard to imagine at this point what benefit IBM will get from those new technologies.
Please name ANY recent innovation that IBM has created in 2024 which will bring significant monetary value in AI, Quantum computing or any other BS technology areas. Companies die off and new ones spring forth - it is how the circle of life goes on. IBM is a dying entity, except for the huge dividend. When that dividend gets cut and it will happen, the company will just be dead like many others before it. Think Enron, Think Novell and lots of other big technology companies which were once considered the darlings of the stock market - where are they now ? AK, JK, JW, RT can run but they cannot hide from what is coming down the pike. IBM will not make it to the next century - the chief executives (Palmisano, Rometty and Krishna) and managers made sure of that, and they now reap what they sowed. It all comes down to one thing - greed !
"It will never stop.."
it will stop when the companies cannot create anymore
then all we really have after that are just plantations - widget makers
And so goes the knowledge too. Pretty soon there will be nothing left for McKinsey to recommend sending offshore.
But execs gotta get their bonuses and the Street has to get its dough. Grab it while you can fellas.
The dividends committed to shareholders is a big pressure on the management team to cut costs under any circumstances; which forces them to offshore jobs overseas; this is true for any publicly traded tech company.
The main theme for all three divisions at IBM is cost take out. IBM’s CFO acknowledged that in the 1st q earnings call (savings accelerated from 2 billion to 3 billion in 2024). The accelerated savings aligns right on top of the free cash flow statement (10.8 billion going to approx 12 billion). Essentially running in place. So what is each divisions strategy
SW = buy innovation and retire out the legacy (computer associate model)
Consulting = go offshore, up utilization, and pursue younger lower cost labor (cognizant model)
Infrastructure = exploit your monopoly, eg. what you know best (enterprise) Everything else can be abandoned or partnered out (cisco model)
Each division is pursuing a different cost take out strategy, but if you can’t grow revenue, cost take out is the only way to move the needle as far as Wall Street is concerned. Stagnation would require the board to take action against the management team
IBM will continue moving jobs around (both overseas as well as from senior to junior staff) because the management will continue to feel that they have no choice. They are addicted to free cash flow, and the easiest way to do it is to cut staffing costs.
At the same time however, this will continue to prove to be a losing strategy for the business. It's been known for a long time that you can't cut your way to prosperity. You have to grow the business by developing and selling new products and services, and IBM is unlikely to do it with their current staffing practices. At best they will continue to be in a maintenance mode for most products, with occasional bug fixes and updates.
Just go to sleep…it’ll all be over soon anyways
financial engineering to low-cost region and countries will continue to hold and gain favor
It will never stop...this is what IBM Management does to make sure AK gets his $25+ million bonus in 2025 ! It's always about greed, greed and more greed from the crooks at the top. You are not dealing with rational human beings, but folks like the late great Epstein.
IBM has to generate an additional $2B in FCF for 2024... Revenues are not really growing... The only avenue is to cut costs to achieve the additional $2B. That seems to be pretty easy to understand.
Take all your sickleave - a couple hours here, a couple hours there, that happen to coincide with any meetings with Brazil.
Not sure what you expect, it's IBM. It's about cheap quantity not more expensive quality.