clock menu more-arrow no yes

Filed under:

IBM offering buyout plan to most of force

In a move that could slash thousands of jobs, IBM is offering most of its 241,000 employees a voluntary job-buyout plan, The Wall Street Journal reported today.

The cuts stem from a company-wide review of costs this summer and comes as IBM struggles to meet overall growth and profit goals while moving toward the Internet and other high-growth opportunities, it said.An International Business Machines Corp. spokesman would not comment on the possibility of any involuntary job cuts or the impact of the action on company morale.

The wide-reaching program follows two years of acquisitions and hiring by IBM and several prior years of downsizing that brought the number of workers down from a 406,000 peak in 1985.

The latest job cuts could save the Armonk, N.Y., company hundreds of millions of dollars, the newspaper said.

The company is, however, reserving the right to turn down requests from employees it wants to retain, the report said.

IBM had annual revenue of $75.9 billion in 1996.