IBM settles redundancy dispute

IBM settles redundancy dispute

IBM Global Services Australia (IBM GSA) has settled its dispute with the Community and Public Sector Union (CPSU) in an Industrial Relations hearing, securing the fate of the 64 staff that will be retrenched in June.

The outsourcing company, which is jointly owned by IBM, Telstra and Lend Lease, raised the vengeance of the CPSU in March when it sacked 64 staff from its St Leonards office in Sydney without warning. Although 16 vacancies were made available, this required staff to relocate to Clayton, Victoria, with only two weeks to make the decision.

At the time, CPSU assistant secretary Stephen Jones said 60 of the 64 staff were CPSU members who were unfairly targeted, and facing retrenchment without their full entitlements. Staff picketed outside IBM's Sydney headquarters during the dispute.

While the settlement details remain confidential, the CPSU said it is satisfied with the outcome of the hearing. Workers now have the option of retrenchment - which will include severance payments, redeployment or relocation.

Staff that choose to relocate to Victoria will have the option to take redundancy packages if they are not happy with the move within 12 weeks. Workers have until May 3 to decide whether to relocate.

The CPSU is still expressing concern over IBM GSA's stalled enterprise agreement negotiations.

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