IBM reportedly cutting ‘thousands’ of jobs, Cloud Classic unit hit hard

What’s going on at IBM?

International Business Machines (IBM) is reportedly scaling back its staffing levels with its Cloud Classic unit being hit especially hard.

“Concrete numbers are being kept private…[but, it’s] in the thousands,” a source told The Register.

The update comes just months after the tech giant conducted a “workforce rebalancing” — focusing on senior-level programmers, sales, and support personnel.

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Impact on Canadian staff

While U.S. jobs are primarily affected, Samfiru Tumarkin LLP is working to determine if any Canadian employees at IBM are being let go.

According to LinkedIn, the company has nearly 12,000 workers in the country.

Next steps for IBM employees

If you’re fired or let go at IBM, understanding your legal rights is crucial.

Non-unionized employees in Canada’s tech industry are entitled to severance pay. The amount you’re owed is based on a variety of factors, including your role, tenure, age, and ability to find similar work.

WATCH: Employment lawyer Lior Samfiru delves into severance pay on an episode of the Employment Law Show.

Here’s what you need to know:

• Compensation: Severance packages, which can be as much as 24 months’ pay, may include salary, bonuses, commissions, and other forms of compensation. Use our firm’s free Severance Pay Calculator to better understand your entitlements.
• Deadlines: You generally have up to two years from the date of your termination to review and negotiate severance offers.
• Action steps: Consult an employment lawyer at Samfiru Tumarkin LLP to ensure your severance package is fair and aligns with Canadian employment laws.

Major employers slashing staff

The reported workforce reduction at IBM comes amid a flurry of job cuts in 2025.

Big names, including Seneca, Morgan Stanley, Prepac, MPG Canada, HPE, Wayfair, MLSE, Disney, Autodesk, JPMorgan, Chevron, Vale, Canada Post, Workday, ADM, Meta, and Shopify, have pulled out the axe.

SEE ALSO
• Estée Lauder reportedly cut all Canadian staff in Hudson’s Bay stores
• Canada’s immigration department slashing workforce by 25%
• Where are layoffs happening in Canada?

Lost your job? Contact us

If you’re fired or let go at IBM for any reason, the experienced employment law team at Samfiru Tumarkin LLP can help.

Our lawyers in Ontario, Alberta, and British Columbia have helped tens of thousands of non-unionized individuals resolve their workplace issues.

Call us today at 1-855-821-5900 or request a consultation online.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is not specific to any one company and SHOULD NOT be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.