IBM Canada cutting jobs in April “Resource Action,” impacting long-serving employees

What’s happening at IBM Canada?

Samfiru Tumarkin LLP has learned that IBM Canada is reportedly restructuring and laying off an unspecified number of employees through what they are referring to as a “Resource Action.” Many of those affected are long-serving employees.

This closely follows news that the tech giant’s chief communications officer held a seven-minute meeting in March to announce cuts to its marketing and communications division.

The reduction also comes less than a year after CEO Arvind Krishna said he could “easily see” around 7,800 of the company’s back-office roles replaced by artificial intelligence (AI) and automation in the coming years.

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According to IBM’s LinkedIn page, there are more than 11,000 workers in Canada

Termination agreements for IBM Canada employees

In Canada, non-unionized employees at IBM are owed full severance pay when they lose their jobs due to downsizing, corporate restructuring, or the closure of the business.

This includes individuals working full-time, part-time, or hourly in Ontario, Alberta, and B.C.

People working “on contract” or as a contractor may also be owed severance pay — given that many employees in Canada are often misclassified as independent contractors.

Severance can be as much as 24 months’ pay, depending on a number of factors.

WATCH: Employment lawyer Lior Samfiru explains what rights employees have if they are being fired or let go on an episode of the Employment Law Show.

Before accepting a severance offer, double-check the amount using our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their entitlements.

In addition to your salary, make sure to factor in any other elements of your compensation (i.e. bonuses, commission, etc.).

If your employer’s offer falls short of what our Severance Pay Calculator says you are owed, it’s very likely that you have been wrongfully dismissed and should contact an experienced employment lawyer at Samfiru Tumarkin LLP.

Non-unionized employees in Canada have up to two years from the date of their dismissal to pursue proper severance pay.

LEARN MORE
• Severance pay for tech sector workers
• Rights to severance for provincially regulated employees
• Severance packages during mass layoffs

Major tech layoffs continue

The reported job cuts at IBM come amid a flurry of tech sector layoffs in 2024.

Big names, including Intel, EXL Service,  Electronic Arts, Rivian, Cisco, Mozilla, Instacart, Grammarly, Amazon, DocuSign, Snap, Zoom, PayPal, Salesforce, and eBay, have pulled out the axe as they continue to navigate challenging economic conditions.

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• Musk, X facing $128M severance lawsuit from former Twitter execs
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• Where are layoffs happening in Canada?

Lost your job? Talk to an employment lawyer

If you have been fired or let go for any reason, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in Ontario, Alberta, and B.C. have successfully represented tens of thousands of non-unionized individuals.

In addition to severance package negotiations, we can assist you on a broad range of employment matters, including:

If you are a non-unionized employee who needs help with a workplace issue, contact us or call 1-855-821-5900 to get the advice you need and the compensation you deserve.