Politically connected IBM is outsourcing US tech jobs to India


Tech multinational IBM outsources tech jobs in the US to low-wage India as executives receive huge paychecks each year.

According to The Register, IBM, which has a long history of outsourcing the jobs of older American workers overseas or replacing them with foreign workers on H-1B visas, sent about 80 American developer jobs to India.

Tech salaries in India are significantly lower than in the US. For example, technology developers in the US earn more than $109,000 on average. Furthermore, the average salary for these same positions in India is around $38,000.

Most of those who sent their jobs to India and couldn’t find another job at IBM are “all senior employees who are eligible for retirement,” an insider told the Register.

The register reports:

Prior to this transition, which should take place in the third quarter of 2022, AIX development was split more or less evenly between the United States and IndiaThis was reported by an IBM source to The Register. With the arrival of 2023, the entire group was moved to India. [Emphasis added]

We estimate that approximately 80 US-based AIX developers were affected. We’re told they’ve been “redeployed” and given an indefinite amount of time to find a new position. according to experiences reported last week based on complaints from other IBM employees. [Emphasis added]

The outsourcing scheme came as IBM executives reached a settlement with former US employees who sued the tech company over age discrimination. According to those who were laid off, they were laid off and replaced by younger workers.

Despite laying off thousands of American workers and now having more employees on the payroll in India than in the U.S., IBM executives are still getting huge paychecks.

IBM CEO Arvind Krishna was paid nearly $18 million in the 2021 fiscal year. Similarly, general counsel Michelle Braudy earned more than $6.6 million, while CFO James Cavanaugh earned more than $10 million.

Gary Cohn, now a vice president at IBM after serving in the Trump administration, earned nearly $10 million in the 2021 fiscal year.

The tech company has extensive political ties in Washington.

In 2022, IBM executives gave more than $610,000 to the Republican National Committee, more than $21,000 to the Republican National Congressional Committee, nearly $13,000 to the Republican National Senate Committee, nearly $11,000 to Nikki Haley’s America PAC, and nearly $10,000. president. Trump’s Save America PAC.

Other Republicans who accepted donations from IBM executives last year included Rep. Dan Crenshaw (R-TX), Sen. Marco Rubio (R-FL), Rep. Andrew Clyde (R-GA) and Sen. Ron Johnson (R-WI). , among others.

John Binder is a reporter for Breitbart News. Email him at jbinder@breitbart.com. Follow him on Twitter Here.

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