IBM has initiated a 'soft layoff' in its Finance & Operations unit through a return-to-office mandate that requires US employees to relocate close to designated hubs or face severance packages. The company plans to implement AI solutions to replace many positions, indicating a shift towards cost reduction. This move contrasts with the growing acceptance of remote work post-pandemic, and compliance with the office return policy is monitored closely. Employees showing reluctance are effectively being pushed out, though the approach seeks to avoid typical layoff scenarios that draw public attention.
IBM is implementing a return-to-office mandate for its Finance & Operations unit, forcing employees to relocate or face severance.
AI will be used to replace employees as the company focuses on reducing workforce costs while investing in more profitable areas like Consulting.
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