IBM plant troubles--no, the OTHER plant

[themadchemist]

No, folks, don't look to Pennsylvania, because IBM's latest plant troubles aren't at Fishkill. It's the Essex Junction, Vermont, plant, the OTHER place that the PPC970 is manufactured, if I recall correctly.

But just when you thought the problems must be worst for you, with a December shipping date on your pre-ordered G5, some plant workers in Essex Junction got the bad news. Of the approximately 6000 employees at the plant, about 700 were terminated yesterday.

Sympathies, of course, are with the workers and their families, who are now in definite financial trouble. But this also does not bode well for the Mac community, if we go back to thinking selfishly.

With over 10% of the plant's employees fired, this surely is not a positive sign for the speedy manufacture of G5s.

The article is attached below, or read it straight from the three-toed sloth's mouth atGlobetechnology.

IBM layoffs hit Vermont

Associated Press

ESSEX JUNCTION, Vt. — Top computer hardware maker IBM, reeling from a drop-off in business, is laying off hundreds of employees to cut costs, according to media reports Monday.

There was no statement from IBM early Monday. However, two Vermont television stations reported layoffs had already begun at IBM factory spanning the Winooski River in Essex Junction and Williston.

WCAX-TV, citing someone who had been informed he was being laid off, reported that 700 people were losing their jobs in the latest contraction at IBM. WPTZ-TV said "hundreds" had been informed they were losing their jobs during a shift change shortly after 7 a.m.

The job cuts are largely from the company's research and development, manufacturing and management divisions, according to WCAX.

IBM executives and state officials did not immediately return calls for comment. Governor James Douglas said last week he had no advance notice of developments at IBM, but suggested he was expecting job cuts.

The company directly employs more than 6,000 workers in Vermont, and thousands of others rely on it for contracts and other business. IBM laid off 988 workers at the Essex Junction plant last year as part of a broad restructuring of its microelectronics division, which designs and produces microchips.

 

[Vector]

There is no reason to worry about the G5's production. IBM often lays off large amounts of employees, especialy in their microprocessor unit. Last year, or at least in the recent past, they layed off at least 1,000 at one plant. I saw something about this and they are also making employees at one plant (not fishkill) take a week off without pay. IBM just spent 3 bil. to build a new plant at fishkill and while it does not produce G5s alone, the fact that IBM just invested so much in its microprocessor unit shows their commitment.

 

[Powerbook G5]

It's just the nature of the market right now, unfortunately...

 

[kungfu]

I'm a vermonter, essex junction is only a few minutes away.

this is the second giant lay-off that's happened over the last few years at the essex junction IBM plant... and the effects have been more than obvious. not only do they make fewer chips, but the surrounding community has been devastated (sp?).

just the other day, I tried going to a store in essex to find that it had been closed... in fact, the whole area looks like completely run-down.

the local economy is in a pretty sorry state.

so I guess I'm saying, there's more to it than making chips, keep that in mind...

 

[themadchemist]

Originally posted by kungfu
I'm a vermonter, essex junction is only a few minutes away.

this is the second giant lay-off that's happened over the last few years at the essex junction IBM plant... and the effects have been more than obvious. not only do they make fewer chips, but the surrounding community has been devastated (sp?).

just the other day, I tried going to a store in essex to find that it had been closed... in fact, the whole area looks like completely run-down.

the local economy is in a pretty sorry state.

so I guess I'm saying, there's more to it than making chips, keep that in mind...

and that's why I said that the primary concern was for the people who lost their jobs, and obviously, from what you're saying, the surrounding community that depended on the spending from the incomes of the people who had those jobs.

I said that a second, more selfish concern that pertained directly to the Mac community was the chips, but that that wasn't most important.

 

[Dont Hurt Me]

i feel sorry for those who are out of work, also when ever a company builds a new plant you have to think of whats coming. worse comes to worse fishkill will be operating because its new etc. i never even knew 970's could be coming elsewhere.