IBM Severance Package: 2026 Guide
1 month per year of service (up to 6 months). Calculate your estimated IBM severance below.
Free Severance Pay Calculator
Estimate your severance package based on your salary, years of service, and industry
What IBM Typically Offers
Known Severance Benefits
- ✓1 month per year of service (capped at 6 months)
- ✓Health insurance continuation
- ✓Outplacement services
- ✓Retraining opportunities through IBM SkillsBuild
IBM Recent Layoff History
| Date | Employees | Details |
|---|---|---|
| 2023-2024 | 3,900 | Ongoing workforce rebalancing with AI-driven role consolidation |
Sources: Bloomberg, Reuters, CNBC
IBM Severance Tax (New York)
IBM is headquartered in New York. Here's how severance is taxed there:
Example: A IBM employee with 5 years of service earning $130,000 would receive approximately $37,500 gross ( $25,163 after tax in New York).
How IBM Compares to Technology Average
Other Technology Companies
| Company | Formula | Rating |
|---|---|---|
| Meta (Facebook) | 16 weeks base + 2 weeks per year of service | Generous |
| Google (Alphabet) | 16 weeks base + 2 weeks per year of service + bonus | Generous |
| Amazon | Varies widely: corporate gets more than warehouse; typically 1-2 weeks per year | Standard |
| Microsoft | 2+ months base pay plus additional weeks per year of service | Generous |
| Apple | 4-12 weeks depending on role and tenure | Standard |
| Netflix | 4-9 months of pay (one of the most generous in tech) | Generous |
| Salesforce | Minimum 5 months pay plus career resources | Generous |
| X (Twitter) | 3 months base pay (post-acquisition standard) | Below Average |
Negotiating Your IBM Severance
Strategies specific to IBM employees:
- ✓IBM has a structured separation process — document everything in writing
- ✓Push for IBM SkillsBuild access for upskilling during transition
- ✓Negotiate for the cap to be raised beyond 6 months for long-tenured employees
- ✓Ask for continued access to IBM Cloud certifications
Think Your Severance Is Too Low?
Employment lawyers have helped workers negotiate 2-5x their original offers. Get a free consultation.
IBM Severance FAQ
How much severance does IBM pay?▼
IBM typically offers 1 month per year of service (up to 6 months). Their severance reputation is rated as “Standard” compared to technology industry peers. In recent layoffs (2023-2024), ongoing workforce rebalancing with ai-driven role consolidation.
Can I negotiate my IBM severance?▼
Yes, most severance packages at IBM are negotiable. An employment lawyer experienced in technology can typically negotiate 2-5x the initial offer, especially if there are potential legal claims or WARN Act violations. Many offer free initial consultations.
How is IBM severance taxed?▼
IBM severance is taxed as supplemental wages at 22% federal flat rate plus 10.9% New York state tax, for a total of approximately 32.9%. If you work remotely, your state of residence tax rate applies instead.
Related Technology Companies
📋 Free Severance Negotiation Checklist
The exact steps employment lawyers use to negotiate higher severance. Used by 10,000+ employees.