by Hilary Niles August 6, 2013 vtdigger.org Three weeks after 419 employees worked their last days at IBM’s plant in Essex Junction, the company’s unofficial union Website Alliance@IBM reports that mandatory furloughs in the hardware unit have been announced.
Starting either August 24 or 31, members of the Systems and Technology Group, which includes the facility in Essex Junction, Vermont, will be required to take one week at one-third pay, Bloomberg reports. STG executives will take no pay during that week.
The news comes the same day that International Business Machines Corp. announced an alliance with Google to build advanced server, networking, storage and GPU-acceleration technologies, using IBM’s POWER microprocessor architecture. The companies Mellanox, NVIDIA and Tyan also are involved in the OpenPOWER Consortium.
New additions to IBM’s portfolio of server technologies also were announced Tuesday.
After lower than expected second-quarter earnings, IBM announced layoffs on June 12. Worldwide, more than 3300 employees were let go, according to the Alliance@IBM.
Lee Conrad is the national coordinator for the Alliance. He called the furloughs a ‘slap in the face.’
The company could not immediately be reached for comment.
IBM orders furloughs for systems and technology group, reports say
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