ATM contract loss leads IBM to cut additional jobs

IBM's Technical Support Staffers in the UK may loss their jobs after the loss of a Santander ATM contract.

After losing a considerable ATM contract in the UK, IBM is looking to cut even more of its global workforce.

The company is likely to cut its Technical Support Services (TSS) staffers in the UK after losing an ATM maintenance contract with Grupo Santader's tech division, Produban, which is responsible for designing and operating all of the bank's infrastructure.

IBM sent a note to its staff urging them to be on their best behaviour despite the fact that the loss of the contract would likely them their jobs.  The company's TSS UK service deliver business ops manager, Tim Frisby, confirmed that Produban had chosen not to renew the business arrangement between the two companies due to its costly nature.

In Frisby's note, he broke the news to employees working for IBM's ATM teams, saying: “The reduction of work load for our ATMs teams as a result of this loss has been considered and after extensive work from those in the ATM domain a plan has been set, individuals have been identified whose engagement in with IBM will be concluded on or around the 30th September.”

“If your employer (Manpower or IBM) has not made you aware that you have been identified for end of assignment then you are not in scope of actions to be taken as a result of this contract loss.”

Fribsy stressed that TSS workers should show “continued commitment and professionalism” throughout the course of the remaining weeks of the contract. This is due to the fact that there may exist a possible opportunity “for future win back opportunities.”

The number of job cuts IBM's TSS staff is facing has not been revealed at this point but if more than 20 workers are let go than the company will be required to follow collective consultancy rules.   

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