Bad news for this IT company employees, 9000 people to be sacked due to…, not Narayana Murthy’s Infosys, Ratan Tata’s TCS, Wipro, name is…
GH News March 27, 2025 10:06 AM

IBM is reportedly cutting around 9000 jobs across several US locations as part of its recent corporate restructuring. According to The Register the layoffs will impact about 25 per cent of the employees working in the company’s Cloud Classic division. The teams most likely to be affected include those handling consulting services corporate social responsibility programs sales and cloud infrastructure. Additionally employees under IBM’s CIO department who manage the company’s internal systems are also at risk.
The report further mentions that around 10 per cent of the Cloud division (separate from Cloud Classic) has been asked to leave as well.
Reasons for the layoff
According to the report one of the main reasons behind IBMs massive layoffs especially in its Cloud Classic division is the companys decision to shift more jobs to India. The Cloud Classic unit which offers infrastructure-as-a-service (IaaS) was originally built on IBM’s 2013 acquisition of SoftLayer. The job cuts are expected to affect employees in Texas California New York City and State Dallas and Raleigh North Carolina. Meanwhile IBM continues to expand its workforce in major Indian cities like Pune Bengaluru Chennai and Hyderabad.
Although IBM hasn’t officially commented on the layoffs the company has previously stated its intention to streamline its workforce. In January James Kavanaugh IBM’s chief financial officer mentioned that the company’s “workforce rebalancing” would remain consistent with trends from previous years.
For those who remain employed IBM is tightening its office attendance policy. By the end of April employees are required to work from the office at least three days a week. The report also claims that badge swipes are being tracked and only medical exemptions are allowed—though they are reportedly discouraged by middle managers and viewed unfavorably by executives. While the company hasn’t disclosed the exact number of layoffs sources suggest it is in the thousands.
IBMs revenue
IBMs revenue for the October-December 2024 quarter grew by 1 per cent reaching USD 17.6 billion. During this period the companys software revenue saw a solid 10% increase while consulting revenue dropped by 2 per cent and infrastructure revenue fell by 8 per cent.
Interestingly the layoffs come at a time when IBM CEO Arvind Krishna received a 23 per cent pay raise bringing his total compensation to USD 25 million.
IBM isn’t the only tech giant making workforce cuts. Reports indicate that HP Meta Amazon and several other major tech companies have also been considering large-scale layoffs in recent months as part of their restructuring efforts.