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4w ago

IBM Confirms Q4 Job Cuts as Bay Area Filing Details 75 Layoffs

IBM frames the reductions as a rebalancing toward higher‑margin AI and software roles, with campus hiring expected to keep U.S. headcount steady.

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IBM CEO Arvind Krishna speaks on stage during the 2016 Wired Business Conference on June 16, 2016 in New York City. IBM is cutting thousands of jobs worldwide, including 75 in San Jose, as it accelerates its shift toward artificial intelligence and cloud computing.
IBM Silicon Valley Lab at 555 Bailey Avenue in the Coyote Valley region of south San Jose, seen in 2024. (Google Maps)

Overview

  • The company says a low single‑digit share of its roughly 270,000 global employees will be affected in the fourth quarter of 2025, amounting to thousands of jobs.
  • A California WARN notice shows 75 permanent layoffs at IBM’s 555 Bailey Ave. site in South San Jose effective Jan. 5, 2026.
  • CEO Arvind Krishna says IBM plans to hire more college graduates over the next 12 months and expects U.S. employment to remain roughly flat year over year.
  • IBM cites AI‑driven automation and a shift to software, hybrid cloud and consulting as drivers of the reallocation, noting earlier automation of about 200 HR roles.
  • Recent results highlighted a 9% quarterly revenue increase to $16.3 billion led by AI consulting and software, and the company says affected workers will receive severance and transition assistance.