International Business Machines Corp. officials have announced they will phase out some manufacturing operations in Florida, Arizona, Texas, California and Ontario and they expect 3,000 to 4,000 employees to retire or leave the company.
No one will be laid off in the plan to "further reduce costs, provide for future growth and speed new products to customers," IBM said.IBM officials in Salt Lake City said nobody in Utah would be affected by the move. Officials said the key elements of the moves, expected to be completed by the end of 1989, were:
- Personal System-2 manufacturing in Boca Raton, Fla., will be moved to IBM's Research Triangle Park plant near Raleigh, N.C., where much Personal System-2 manufacturing already takes place. All other operations related to the Personal System-2 that are in Boca Raton will remain there.
- Manufacturing operations at the Tucson, Ariz., storage products plant will be phased out and the work moved to San Jose, Calif.; Charlotte, N.C.; and Poughkeepsie, N.Y. The Tucson development laboratory will continue its operations.
- Rolm Systems telecommunications manufacturing in Santa Clara, Calif., will be moved to IBM's nearby San Jose facility. Rolm Systems manufacturing and development in Austin, Texas, will be consolidated with IBM's main Austin site.
- IBM plants in Charlotte, N.C., and Austin will take over some assembly work now done in Toronto. At the same time, an IBM laboratory in Toronto will get more programming development responsibility. Manufacturing of memory cards and power systems will continue in Toronto.
- A plant in New York City will diagnose and process electronic components, work that used to be done in numerous locations. Assembly operations now in Brooklyn will be consolidated in Poughkeepsie.
IBM also said it plans to further reduce its corporate, U.S. Marketing & Services Group and Americas Group headquarters staff in Westchester County, N.Y., and elsewhere.
Those who choose to retire or leave the company will be provided financial assistance, IBM said.