In Germany, IBM will give almost 1000 employees the termination. The group has informed its supervisory boards and the responsible works council committees accordingly in the last few days with maintaining competitiveness and realigning the organization and skills. This was announced by the service union ver.di. In order to implement the layoffs, negotiations on redundancy plans are to be started with the responsible bodies of the companies belonging to the German IBM group . It is also still unclear which parts of the group are affected.

Restructuring and profits Last autumn, IBM expanded its infrastructure Services split off into a new company in order to focus even more on cloud services. In this area, IBM 2018 had the open source provider Red Hat converted for 30 Billion euros taken over. Red Hat is now part of the Cloud & Cognitive Services division. Here IBM was able to record a growth in turnover, while the income of the other services declined. Nevertheless, in the third quarter 2020, IBM was still able to post slightly increasing profits of 1.7 billion US dollars, the equivalent of almost 1.4 billion euros.

IBM CEO Arvind Krishna announced a growth target of five percent for the group in October. To this end, IBM wants to further develop its strategies and implement measures to simplify and improve the business model.

Worldwide, IBM has around 350. 000 Employees, in Germany the number of positions is over 10.000 estimated. The ver.di union protests against the layoffs and calls on IBM not to implement the plans. Information events and protests are being planned.

(fds)