Caitlin Fitzsimmons Online editor

Caitlin covers social media, marketing and technology and is BRW's social media editor. She has worked as a journalist in Sydney, London and San Francisco, writing for titles including The Guardian and The Australian Financial Review.

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Technology giant IBM downsizes in Australia, with up to 1500 job cuts expected

Published 19 June 2013 17:29, Updated 20 June 2013 07:38

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Technology giant IBM downsizes in Australia, with up to 1500 job cuts expected

IBM’s Australian workforce ‘remix’ is reportedly playing a marching tune for up to 1500 local staff. Photo: Jane Dyson

IBM Australia is reportedly axing up to 1500 Australian staff and sending jobs offshore to New Zealand and Asia.

The Sydney Morning Herald reports that between 1200 and 1500 local jobs are being made redundant this year in several waves, quoting affected staff who asked to remain anonymous.

IBM sent a vague statement to BRW that spoke of “transformation” and “workforce remix” but declined to confirm the facts.

“Change is constant in the technology industry and transformation is an essential feature of our business model,” an IBM spokeswoman says. “Consequently, some level of workforce remix is a constant requirement for our business. Given the competitive nature of our industry, we do not publicly discuss the details of staffing plans.”

Since IBM is not listed on the Australian Securities Exchange, it is not required to detail local job cuts.

The job losses are thought to be part of a global restructuring plan announced in April, with Australian executives told they needed to cut 10 per cent of the local workforce following disappointing first-quarter results.

IBM’s total global workforce was 434,246 as of December 31 and SMH estimates this will shrink by 2 per cent globally, with Australia one of the hardest hit markets.