IBM Cuts 400 Engineering Jobs in USA; Positions Might Resurface in India

IBM reportedly is laying off about 400 U.S.-based engineers developing components for IBM’s line of BladeCenter servers—one of the company’s best-selling hardware products.

According to a report by Paul McDougall of InformationWeek, the cuts are taking place at IBM engineering facilities around the country, including sites located in Austin, Texas; Burlington, Vt.; San Jose, California; Raleigh, N.C.; and Rochester, Minn.

Another report suggests that 100 jobs will be lost in Austin, Texas; 99 jobs will be lost in Poughkeepsie, Endicott, and Fishkill, N.Y.; 74 positions in Rochester, Minn; 43 in Tucson, Ariz.; 35 in Raleigh, N.C.; 16 in Burlington, Vt.; and about a dozen at other locations across the country.

Speculation already is circulating that many of the jobs will be moved to India, where IBM will spend more than $6 billion over the next three years developing a technology workforce that is meant to do far more than work in call and contact centers and provide low-level programming.


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