IBM was still declining to confirm or deny a report in yesterday’s Wall Street Journal that another enormous redeployment of staff was imminent in the US, but observers are convinced that IBM would announce it, perhaps as soon as today. Having persuaded some 15,000 of its 389,300 employees to take early retirement since late 1986, the company is expected to seek to reduce its rolls this time by eliminating as many as 10,000 positions and offering their holders transfers into sales or to other locations. One possibility being mooted is that the Entry Systems personal computer division, currently split between Boca Raton, Florida and Austin, Texas, will be consolidated at Austin. Observers expect IBM to make several such consolidations and relocations in the hope that many people will choose to resign rather than move to a city or state they regard as less congenial, thus enabling IBM to reduce its headcount without relaxing its no-layoffs policy.
