Bonum Certa Men Certa

Distortion of the Facts About Mass Layoffs at IBM

posted by Roy Schestowitz on Jan 27, 2026

An interesting report was published 18 hours ago by Wade Millward. It's only interesting for one particular portion, not the nonsense about "expectations for year four of the generative artificial intelligence revolution." [sic]

Wait, revolution or Ponzi scheme? Also, did he mean slop?

Anyway, from the article:

These are some of the topics expected to come up Wednesday when Arvind Krishna, CEO of the Armonk, N.Y.-based technology giant, hosts IBM’s latest quarterly earnings call, covering the fourth quarter of IBM’s 2025 fiscal year. The quarter ended Dec. 31.

"IBM could report a softer-than-expected pre-tax income margin due to recent layoffs, Bank of America warned in a January report," it says. It does not mention that more layoffs are ahead and instead it portrays layoffs as a cost, not an attempt at cost-savings because IBM is deep in fast-growing debt.

IBM's CEO is meanwhile lying about the cause - not the cost - of layoffs.

"Anything to deflect against their buddies," says the latest comment.

This was the first comment: "The Covid overhiring excuse is ridiculous. That overhiring occurred from mid 2020 through mid 2022. The layoffs started in late 2022 and are continuing to this day over 3 years later. The correction is long over with but the layoffs continue. Mainly because Wall Street demands ever increasing EPS at a time when top line Revenues aren't growing. When this bubble bursts it's going to be ugly."

We already debunked this lie before, but IBM's lousy leadership will carry on repeating this lie regardless, no matter if IBM staff isn't buying it.

The Covid overhiring excuse is ridiculous. That overhiring occurred from mid 2020 through mid 2022. The layoffs started in late 2022 and are continuing to this day over 3 years later. The correction is long over with but the layoffs continue. Mainly because Wall Street demands ever increasing EPS at a time when top line Revenues aren't growing. When this bubble bursts it's going to be ugly.

About layoffs with or without PIPs, "isn’t the difference that the layoff you get severance and for job applications you don’t have to say you were fired for “cause” but laid off due to lack of work," somebody asked. Indeed, aside from the severance aspect there is the "low performers" aspect. People whom Microsoft laid off under the "low performers" pretext complained it would harm their ability to find alternative employment. They got stigmatised.

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