Up To 600 To Lose Jobs As IBM Shuts Down Tampines Plant
Nine years after its opening in 2010, IBM’s S$90 million technology park in Tampines will be shut down, and its remaining workers will be laid off.
Around 70% of the employees will leave the company at the end of April, while the rest will leave at the end of July. Several rounds of retrenchments have already been carried out between May and July last year, before it was revealed that the plant will be shut down.
IBM will move the manufacturing of its mainframe computers, known as IBM Z, from Singapore to Poughkeepsie in New York.
IBM Z’s revenue declined 44% compared to the same period a year ago. Analysts expect the US firm to report weaker earnings for its first quarter, partly due to an ageing mainframe product cycle.
Workforce Singapore and the Employment and Employability Institute (e2i) of the National Trades Union Congress (NTUC) will offer employment services to workers who are retrenched.