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IBM has become the latest tech giant to part ways with employees amid the fallout of the Covid-19 pandemic.
IBM didn’t comment on specific numbers but according to Bloomberg, the cuts appear to be “far-reaching.”
One unnamed employee said the job cuts will mostly affect the company’s North American workforce. Roughly half of the employee’s 70-person department was recently informed that their last day will be June 22.
Ed Barbini, a spokesperson for IBM, told Bloomberg that while they always consider the current environment, IBM’s workforce decisions are in the interest of the long-term health of their business.
Realizing the “unique and difficult situation” this decision may create for some, the company is offering subsidized medical coverage to all affected US employees through June 2021, Barbini added.
IBM isn’t the only tech titan jettisoning employees and taking other cost-cutting measures due to Covid-19. Both Airbnb and Uber have let go thousands of employees. Just yesterday, Hewlett Packard Enterprise said it would be reducing the base salary of several executives and would be realigning its workforce to focus on areas of growth.