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The main reason behind IBM Cloud Classic’s layoffs is said to be based on the company’s acquisition of Softlayer in 2013, which is its stable plan to transfer jobs to India. IBM slowly and steadily moved its work overseas, and this reshuffle further transferred this shift.

This image is for representation purposes only. (Reuters)

According to reports, IBM is underway for a large-scale corporate restructuring, which hopes to lay off 9,000 employees in several locations in the United States. According to the Register’s report, a large portion of the layoffs could affect IBM’s Cloud Classic division, with nearly a quarter of the workforce facing layoffs. IBM has not officially announced the exact number of layoffs.

The report said the move will affect IBM employees in California, New York City and states, Texas, Dallas, Raleigh, North Carolina and other locations.

Employees working under IBM’s CIO will be reportedly affected by the biggest impact of the move. The main reason behind IBM Cloud Classic’s layoffs is said to be based on the company’s acquisition of Softlayer in 2013, which is its stable plan to transfer jobs to India. IBM slowly and steadily moved its work overseas, and this reshuffle further transferred this shift.

In India, IBM exists in cities such as Bangalore, Pune, Chennai and Hyderabad.

The registry reports that IBM has more vacancies in India than the United States. IBM CEO Arvind Krishna also earlier emphasized “transferring the labor force to India”.

The report also states that employees who remain in the United States will also comply with new job policies. Those who survived the layoffs returned to the office from late April at least three days a week.

“Management is monitoring the sliding of badges and only allowing medical exemptions, which are frowning by executives and even discouraged by middle-level managers. The specific numbers are private. This is in thousands,” the report said.

IBM has not publicly commented on the exact number of unemployment or the extent of reorganization.

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