Enterprise Software optimize

Would you want to work for IBM?


IBM have shocked many of their technical staff with a 15% pay cut! The move comes after IBM was forced to settle a lawsuit brought against them by employees back in 2006. The employees, mainly technical staff, claimed that the company was illegally withholding overtime payments by classifying the staff as exempt from federal and state overtime statutes while they were working over 40 hours per week.

Now IBM has decided that it needs to reclassify 7,600 technical staff as eligible for overtime. Unfortunately the new payroll structure being introduced on the 16th February will also introduce a 15% cut from the base rate of pay for all staff who are eligible for overtime--a move that is said to be directly related to the lawsuits.

IBM is planning to lobby state and federal officials for an opt-out clause allowing technology companies to escape current employment legislation: "IBM believes aspects of the wage and hour laws have not kept pace with the realities of the modern workforce. The company will continue to press the government to update and clarify the law in this area."

Not surprisingly many of the staff are outraged; in fact, IBM's own documents show that one third of the workers whose base rate of pay has been cut are not currently working any overtime--that means they're losing 15% and will have to start working five hours of overtime per week to make up for it, that is if they're offered the overtime at all. A ‘transition package' has been offered to those affected, but I wouldn't imagine that's gone down too well.

Would you want to work for a corporation that calls its staff ‘units' and actively lobbies to have their rights taken away?

23 comments
big blue IBM
big blue IBM

Do you want to work at IBM? If you have a strong education, resume and/or work experience, email me at workforbigblue@gmail.com and I can refer you. You won't regret a career with big blue!

nospamxx
nospamxx

I have.. for 24 years. And I have to continue to let them screw me... because if I don't I lose most of my pension. I signed a contract and (stupid me) expected them to hold up their end of the bargain.... which they haven't.... so in hindsight, if I had known 24 years ago that I could have worked at Burger King and been treated better (in spite of graduating summa cum laude with a BSEE from a respected institution), I wouldn't have wasted my time and my LIFE. I held up my end of the bargain time and time again... 60+ hour workweeks, consistent 2+ or 1 performance ratings and lots of recognition from my peers that I'm an exemplary employee... but that's not worth sh*t.

msteinson
msteinson

I worked for Big Blue for 17 years. It was a great learning experience.

Tony Hopkinson
Tony Hopkinson

Screwing your employees always does, course how can you help yourself, when they stick the booty in the air and beg you for it? The ones who were asking did, the ones who kept quiet got a compulsory invite to the same orgy. If you keep it quiet while someone is pulling yours and their trousers down, then bending you over the desk, you agreed to be screwed. It's not as if what was going to happen wasn't obvious is it?

rasilon
rasilon

I worked for IBM for 28 years. I was part of a "Portfolio Refinement" in 2001 (still my personal favorite euphemism for "layoff" and was able to retire at 55. Over that time I saw an "employee-centric" company become one of the most callous and employee-hostile companies around. In the past decade, IBM has demonstrated that its priorities are the bottom line and shareholder value. Employees are a commodity... Just look at what they have done to the pension program for a roadmap of where they want to go with everything. Every step of the way, they stomped on those who had put the most time into working for them. There is no loyalty to the company anymore. The sad part is that IBM doesn't seem to care....

normhaga
normhaga

In the OS/2 2.1 days. No longer do. Enough said.

Forum Surfer
Forum Surfer

The sad fact is, they'll probaly get away with it, too. Upper management will always find ways to cut cost, cutting your overtime or the amount you can claim aren't all that unheard of. I've worked for many companies that had stipulations like "you can claim overtime, but not more than 20 hours." Even if your manager had asked you to work 30+, you only recieved compensation for 20. The only thing we can do is make the best of our situation, and if you're miserable...just quietly yet actively search for a new job and only do the minuimum of what is asked of you until you find that new job.

VikingCoder
VikingCoder

I did work for IBM at one point, and left because they are not a great company to work for. Any company that is more concerned about the color of shirts and ties that I wear and the type of vehicle I park in the lot than the work that I do is not my dream company. However, I've been an exempt employee at most of my jobs, and a certain amount of overtime was de rigeur. The time to have a discussion with management and make a choice about hourly or exempt pay is when you are being hired. If you don't want to be exempt, look elsewhere. IBM is responding in exactly the way most businesses would to what they perceive as a cost control issue. These folks have got what they wanted, and found out that they should be careful what they wish for, because they just might get it.

msteinson
msteinson

I worked for Big Blue for 17 years. It was a great learning experience. I learned how technology could be applied to ease everyday tasks. I learned how to smooth over angry customers. I learned that upper management was not connected with reality. The decisions that were made were based on the golf course and arrogance. I saw the development of the attitude, you know, when I am on top ain't nothing going to touch me syndrome. If I was afforded the opportunity, I would implement fixes that would work, but that was not to be. No, I would not go back-no not for a minute!

RFink
RFink

When it comes to company loyality baseball players have the best idea. Give your employer your best effort but when the time comes, sell your sevices to the highest bidder. Get paid what you're worth. Too bad this doesn't work in the real world. Imagine how this would apply in IT. Your top performers would get rich and your poor performers would wash out. A win-win to both employee and company.

Fregeus
Fregeus

But I do work for another big consulting firm which will remain nameless. One factor I've come across personally that really ticked me off is, during a conversation with managers, the subject of company loyalty came up. I told the group present that I feel absolutly no company loyalty what so ever because the company has no loyalty towards me. They all looked at me as if I was an alien!!! How can they have the gawl to look at me with a straight face and tell me that if they had known that, they wouldn't of hired me. How can they expect company loyalty when the companies offer none. How is that logical. I may be wrong with my line of thought, but i believe very strongly that you reap what you sow and do not onto others what you would not do onto yourself. Loyalty is not something that is bought with salary. It is earned, like anything else worth while. TCB

drowningnotwaving
drowningnotwaving

... which is, of course, a matter of timing in different markets. Right now, in Australia, in certain sections of IBM GS they'd be clamouring to pay the additional salary. It's less than the average annual increase in some IT salaries in Australia at the moment, particularly when added to recruitment and the opportunity costs thereof. Straight economics. Without knowing the situation in full it is difficult to comment. It may well be a case of the job not being sold at the right price to the client in the first place. Heaven forbid the sales team would underquote !!!1

TomZnaper
TomZnaper

I worked for IBM Global Services, the consulting arm of IBM. We were told that vacation carryover was not allowed, because IBM wanted everyone to have time off. Of course, the next statement was that we would have to put in extra billable hours to make up for the vacation time. If that was not enough, my manager said extra hours were also expected to make up for any sick time that was taken. Yes, IBM is very employee friendly company, NOT!

Tony Hopkinson
Tony Hopkinson

I mean you could have seen that one coming an AU off. Up the company's cost by 10%, of course they are going to find away to claw it back, and more, sheesh In my job, I'm expected to do overtime, but if management need me to work it then they pay premium for it. That's a straight cost/benefit exercise. I'm not a salute the logo type by any means, but I don't sue my employer, when they won't give me what I want, I leave. That's a simple cost benefit exercise as well. Have your cake and eat it merchants on both sides of this one.

RealGem
RealGem

Be careful is right. I know of a workplace that unionized. The workforce did it for all the usual reasons, but also for things like regular wage increases. Unfortunately, they seemed to think that the employer had an unending pot of money. The reality was that their funding was 100% external (no sales). The funding did not increase simply because of the unionization. The result? Layoffs. How's that for an unintended consequence? Too many people see their employer as some kind of social assistance that provides them with rights.

Oz_Media
Oz_Media

For about 7 months and then tossed it to do my own thing. Though I didn't work in a Us HO but a Canadian one, things are very different here. As for being exempt, they do that here to, except Canadian labour laws still have them paying OT as required (even for a fixed salary employee), though you usually have to push for it. I do like the Lenobo notebooks though, Thinpads are a weakness for me as they are so hard core for business (shite for games as they mainly have puny graphics chipsets). If you've moved on, or are thinking of it, change is always gppd and teh last company you work for is why you (should) move forward each time you take that step. good lukc with your career and remember that IBM, like them or not, did hire you and pay you, which is exactly what many people here have been looking for for a long time.

drowningnotwaving
drowningnotwaving

TCB I know exactly what you mean and I believe you are 100% correct. When the company can (and very often will!), with zero notice, wipe you off it's books, it cannot expect one iota more of loyalty in return!! However, saying that to your managers is not necessarily a wise move! I don't recommend lying to them, but the sound of silence is often a wise course of action. [i]Loyalty is not something that is bought with salary[/i] - how true. You get an hour of my time for $x. I'll match the company's guarantee of my job longevity with my loyalty.

Prefbid II
Prefbid II

I do like your candor, but I would not have been so blunt. I agree that it is hilarious how some companies expect loyalty and then show none of their own. I also noticed that my old company has had several senior management jobs open for going on 11 months now. Do you think it is possible that the word has hit the street and no one seriously considering them anymore?

Justin Fielding
Justin Fielding

IBM Thinkpads were great but now they're made by Lenovo. I don't really rate their server hardware (I prefer HP) and haven't needed to use their software solutions. Is IBM Global Services going strong?

Justin Fielding
Justin Fielding

I wouldn't think all of those negatively impacted were involved in bringing about the lawsuit.

Tony Hopkinson
Tony Hopkinson

is too many employers see their people as some sort of work house pool. Treat your employer poorly they get rid of you, treat your employees poorly and they leave or underperform. There's a lesson somewhere in there.

Tony Hopkinson
Tony Hopkinson

one involved, hence the s. Besides anyone who follows along behind an idiot is an idiot.