IBM trims 1,500 workers, about 1% of total, from U.S. Global Services unit
ARMONK, N.Y., Jul 03, 2001 (The Canadian Press via COMTEX) -- After adding more
than 10,000 new employees this year, IBM Corp.'s burgeoning global services
group is laying off about 1,500 workers in the United States.
The job cuts are being made at various U.S. locations to respond to changing
client demand. The layoffs do not reflect a business slowdown, IBM spokeswoman
Jan Butler said Tuesday.
IBM Global Services, the consulting and outsourcing arm of the technology giant,
is one of IBM's fastest-growing units, employing about 150,000 workers before
the cuts announced Tuesday..
Butler said about one per cent of the group's jobs would be cut. Employees
losing their jobs were notified on Monday.
The U.S. division, where the layoffs will take effect this month, accounts for
roughly 40 to 60 per cent of the group's employment. IBM counts more than
315,000 employees worldwide.
According to Gartner Dataquest, IBM Global Services is the largest information
technology services unit in world, handling five per cent of world market share.
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KEYWORD: ARMONK, N.Y.
SUBJECT CODE: business
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