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IBM to Trim Low Single-Digit Share of Global Workforce in Q4

The move reflects a shift toward higher‑margin software tied to AI‑linked cloud.

Overview

  • IBM said it will execute a workforce action in the fourth quarter that affects a low single‑digit percentage of employees globally.
  • With about 270,000 employees at the end of 2024, a 1% reduction would equal roughly 2,700 jobs, according to public headcount figures.
  • Some U.S. roles may be included, but the company expects U.S. employment to remain roughly flat year over year.
  • Management frames the step as reallocating resources toward software and AI‑related cloud services under CEO Arvind Krishna.
  • IBM recently posted stronger results with software revenue up 10%, though cloud software growth slowed, and the shares fell close to 2% today.