IBM will cut as many as 5000 jobs in the United States this year, which will amount to over 4 percent of the total IBM’s workforce. Sources say that the job cuts will be administered mainly in the IBM’s global outsourcing and consulting services.

These turn of events are only expected after the economic recession, probably the worst in the history. The International Business Machines Corp has initiated these measures to make some structural changes in the company. Cost reduction and improvisation of productivity topping their lists of agenda, some more job cuts were only an anticipated move. The company has cut jobs in the past few months too, with the total workforce of 398,455 as in the end of 2008.

IBM earns a major chuck of their profits from emerging countries like India, China, Brazil, and Russia, and the employment has risen in these nations too. Although IBM has fared better than most of its competitors, the slow down is due to low spending level in the US technology market. The hardware sales have gone down too. IBM’s shares have gone down by 0.42 percent and trading closed at $97.95 at NYSE.