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⚠️ Active Layoffs — Updated July 2026
IBM Layoffs 2026: Severance, WARN Act & What to Do Now
IBM has been restructuring continuously since its spinoff of Kyndryl in 2021, cutting more than 14,000 positions by mid-2026 as it refocuses on AI and hybrid cloud. Here is what affected employees need to know.
✓ Based on WARN Act filings, reported severance terms, and 2026 employment attorney guidance — Updated July 2026
Jobs Cut
14,000+
Jan 2023 – Jun 2026
Severance
2 wks/yr
Min 4 weeks
WARN Act Filed
Yes
NY, TX, NC
COBRA Coverage
2 months paid
Health insurance help
OWBPA Applies
If 40+
21 days to review
⚠️ WARN Act Status — IBM
IBM filed WARN notices in New York (headquarters), Texas (major operations center), and North Carolina. IBM's Resource Actions are generally WARN-compliant with advance notice.
🛡️ If You Are 40 or Older — Federal Law Gives You Time
The Older Workers Benefit Protection Act gives workers 40 and older at least 21 days to review any severance agreement, and 45 days if this was a group layoff. You also have 7 days to revoke after signing. IBM cannot legally require you to sign immediately.
Calculate Your Financial Runway After a IBM Layoff
Enter your severance weeks, savings, location, and expenses. Get your month-by-month survival timeline — and see exactly what to do next.
Open IBM Layoff Calculator →
IBM 2026 Severance Package: Reported Terms
IBM's reported severance is 2 weeks per year of service with a floor of 4 weeks. The company covers 2 months of COBRA premiums. IBM has a formal Resource Action process with documented procedures that HR should follow consistently.
| Component | Corporate / Salaried | Hourly / Ops |
|---|
| Base severance formula | 2 weeks per year of service | 1 week per year of service |
| Minimum severance | 4 weeks | 2 weeks |
| Maximum reported | ~20 weeks | ~8 weeks |
| COBRA coverage | 2 months premiums paid | Not confirmed |
| RSU treatment | Unvested RSUs forfeited (annual vest) | N/A |
| PTO payout | Accrued PTO paid out | State law dependent |
RSU and equity situation
IBM uses a 3-year vest with annual tranches. IBM's stock has been relatively stable. Map your upcoming vest dates against your termination date — annual vesting means the difference between one day either side of a vest date can be worth thousands.
Your Timeline After a IBM Layoff
1
Day 1: Understand IBM's Resource Action processIBM follows a formal RA process. Ask HR for the full Resource Action documentation covering your terms.
2
Day 1: File for New York unemploymentFile at labor.ny.gov. New York pays up to $504/week for 26 weeks with a 1-week waiting period.
3
Within 2 months: Health insurance transitionIBM's 2-month COBRA coverage is shorter than most peers. Start comparing ACA plans immediately.
4
Before signing: Annual vest date is criticalIBM's annual vesting means one day before a vest date costs you an entire year's tranche. Know your dates.
5
Before signing: Non-compete enforceabilityIBM has historically included non-compete language. Enforceability varies significantly by state — New York recently restricted non-competes.
Other Company Layoff Guides
Severance terms based on reported employee outcomes, WARN Act public filings, and employment attorney guidance as of July 2026. Individual packages vary significantly. This is for informational purposes only and is not legal or financial advice. If you have a specific legal question, consult a licensed employment attorney in your state.