IBM is accused of hiring in India while cutting jobs in the US and Europe
IBM axes UK staff but hires in India
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29 Jun 2005, Robert Jaques , V3
IBM was slammed today over secret plans to hire workers in India while pushing forward with a controversial initiative to axe thousands of employees across the US and Europe.
Big Blue said in May that it would cut between 10,000 and 13,000 jobs from its American and European operations including in the UK.
But the Communications Workers of America (CWA) revealed today that, in making that announcement, IBM did not admit that it was planning to increase employment in India this year by 14,000 workers.
"IBM just announced its fifth new software centre in India, which will hire an additional 1,000 programmers this year," said Lee Conrad, national co-ordinator for the CWA's Alliance@IBM group.
"It is clear that IBM is systematically eliminating well paid, skilled technical jobs in the US in order to expand its operations in India.
"US IT workers have already been hit hard by devastating job losses as companies offshore their work to India. IBM is among the worst offenders, pushing relentlessly to export skilled jobs overseas."
According to the San José Mercury News, IBM already employs 23,000 workers in India.
The CWA is strongly urging IBM to divulge the scheduled number of job cuts in the US, along with where those cuts will occur and how many jobs will be off-shored.
The union also questioned IBM's statement that employees can seek another job at the company within 30 days.
"This is a smokescreen that offers an illusion of hope for employees and misleads the public," said Conrad.
"The fact is that very few employees who are targeted for job cuts find new jobs. IBM is intent on pushing people out the door, not keeping them employed."
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Do you agree?
Retired in 1990 after 25+ years
I can't believe this is about IBM. IBM became what it is by hiring the best, and keeping them until retirement. We gave IBM our best, and knew IBM would do the same for us. In the post-Watson era company loyalty began to slip a little, but not much. But now there is no more loyalty on either side. What a shame. The real IBM is no more.
Posted by Charles Wilkes, 30 Jun 2005
Burn of Globalization
In Earlier day Compamies use to move from City to city to expand sales and increase profits but now with Stiff competition and higher cost of Maintenence Offshoring jobs to cheaper places is the only option But do not forget MNCs Still make profit and bring that money back to the country and benifits all of us .
Posted by Kelvin, 05 Jul 2005