IBM to cut a quarter of its workforce in France, unions fear this is just the beginning

by bold-lichterman

The American IT giant IBM, which wants to focus on the cloud or cloud computing, will cut 1,251 jobs by 2022, or about a quarter of its workforce in France, we learned on Wednesday from union sources and management. Questioned by AFP, the management confirmed this figure and reaffirmed that its ” personnel decisions were made in order to provide the best support to [ses] customers in adopting an open hybrid cloud platform and AI capabilities ” (artificial intelligence).

We can expect double with the coming global reorganization and the split of IBM into two entities. We are talking about a thousand more people, or 2,200 to 2,300 people in total (affected by these job cuts), according to our estimates ”, told AFP Christian Bervégliéri, CFE-CGC secretary of the central CSE, convened on Wednesday. “We have no information concerning the exact scope and we are asking for explanations because there are three concurrent projects: this PSE, the split project with the creation of an international entity refocused on infrastructure services and the restructuring of what ‘IBM France will remain’, added this official, according to which ” all trades are affected ”.

“50% of the workforce in France”

For Pierry Poquet, central union delegate Unsa (first union) “ we can expect additional departures of up to 50% of the workforce in France ” as part of a global reorganization that affects nearly 25% of the workforce in Europe, or around 10,000 people. ” The management wants to go very quickly but we do not have the necessary information to make a decision at this stage ”, added Mr. Poquet. IBM announced at the beginning of November the abolition of 1,180 to 1,385 positions, in a European group committee without precise figures for France.

The American giant announced in early October the split of its infrastructure management activities into a listed company to focus on the cloud. The new company will bring together the hosting and management activities of services and infrastructures which, according to IBM, have an order book of 60 billion dollars. IBM is betting on companies’ appetite for the cloud, and in particular the hybrid cloud, a mixture of “private” (own servers) and “public” clouds (servers from a supplier like Amazon or Microsoft, the leaders in the sector).