Welcome to IBM Employee News and Links

News and Opinion Concerning Health Savings Accounts, Medical Costs and Health Care Reform

• Reuters: France best, U.S. worst in preventable death ranking. By Will Dunham. Excerpts: France, Japan and Australia rated best and the United States worst in new rankings focusing on preventable deaths due to treatable conditions in 19 leading industrialized nations, researchers said on Tuesday. If the U.S. health care system performed as well as those of those top three countries, there would be 101,000 fewer deaths in the United States per year, according to researchers writing in the journal Health Affairs. ...

  They called such deaths an important way to gauge the performance of a country's health care system.

• The Century Foundation: The Newest Last-Place Finish for U.S. Health Care. By Niko Karvounis. Excerpts: Many people like to say that the U.S. has the best health care system in the world. But recent numbers from the Commonwealth Fund should put a stop to this cycle: the U.S. health care system places last in the world when it comes to stopping preventable deaths. In other words, we spend more but accomplish less—does that sound like success to you?

  The new study, funded by Commonwealth and appearing in the Jan/Feb ’08 issue of Health Affairs, looks at “deaths from certain causes before age 75 that are potentially preventable with timely and effective health care.” Relevant causes of death include diabetes mellitus, intestinal infectious diseases, whooping cough, childhood respiratory diseases, leukemia and others.

  The authors, both from the London School of Hygiene and Tropical Medicine, found that America’s success in staving off these health problems has decreased over time. Between 1997/1998 and 2002/2003, preventable deaths fell by an average of 16 percent in all 19 industrialized countries considered; but the decline in the U.S. was only 4 percent. In 97/98, “the U.S. ranked 15th out of the 19 countries on this measure—ahead of only Finland, Portugal, the United Kingdom, and Ireland—with a rate of 114.7 deaths per 100,000 people.

• The Kaiser Family Foundation: AARP Seeks U.S. Supreme Court Ruling That EEOC Lacks Authority To Allow Employers To Reduce Health Care Benefits for Medicare-Eligible Retirees. Excerpts: AARP has petitioned the U.S. Supreme Court to review whether the Equal Employment Opportunity Commission had the authority to issue a Dec. 26, 2007, regulation that allows employers to legally eliminate or reduce health benefits for retirees when they reach age 65 and become eligible for Medicare while retaining benefits for retirees under age 65, CQ HealthBeat reports (Reichard, CQ HealthBeat, 1/3).

  The ruling allows employers to create two classes of retirees -- those younger than age 65 and those older than 65 -- and offer different benefits to each group. In addition, the ruling allows employers to eliminate or reduce benefits provided to spouses or dependents of retirees older than 65. EEOC proposed the rule in response to a 2000 U.S. Court of Appeals decision that required benefits to be offered at the same level for Medicare-eligible retirees and those younger than 65 (Kaiser Daily Health Policy Report, 1/2). A June 2007 decision by the Third Circuit Court of Appeals found that EEOC has the authority to create the exemption under the Age Discrimination in Employment Act.

• Los Angeles Times: Denying care or denying payment? Take a deep breath, and read. By Steve Lopez. Excerpts: Preston doesn’t have cancer, but he was born with cystic fibrosis. And the cost of the medicine that keeps him breathing just shot up like a rocket, thanks to an insurance company decision I’m still trying to decipher. … the cost of Pulmozyme… had been running them $30 a month. Suddenly it was $784. ...

  Hoping for an explanation, and reconsideration, Preston’s parents filed a grievance. Blue Cross quickly rejected it. “Pulmozyme is no longer a Formulary medication,” said the virtually incomprehensible letter, which gallingly suggested the increase was part of Blue Cross’ commitment to providing its customers “the best possible care and access to medications.” ...

  Here in California, Gov. Arnold Schwarzenegger and Assembly Speaker Fabian Nuñez would have you believe they stepped into the leadership void with last month's health insurance-for-all proposal.

  But all they've done is come up with a shaky idea to require nearly everyone to buy medical insurance from the same companies we've all become so fed up with. Employers and hospitals would have to pick up part of the tab, and there might be a new tax on cigarettes to provide some support. But even if the vague and dubious funding proposals come to pass, there would be little or nothing in the way of additional controls on insurance companies in terms of what they cover or what they charge. ...

  I began telling Kuehl about Preston and his family's issues with their insurer, but halfway through I stopped myself, figuring she's heard hundreds of similar stories. "No," she said. "It's in the thousands."

• Los Angeles Times: Moves from the Cigna playbook. By Giuseppe Del Priore. Excerpts: Cigna HealthCare's refusal to cover leukemia patient Nataline Sarkisyan's liver transplant until it was too late is out of the insurance playbook. My patients suffer similar fates every day.

  Insurers always qualify their denial letters with a sentence to the effect that the doctors must provide whatever care is necessary and that the payment is a separate issue. Insurers never deny care — only the authorization for payment. To stall the actual delivery of care, insurers hold out an insincere promise to authorize payment if the doctor provides more information. This leads the doctor on indefinitely, while insurers never say absolutely "no" until the patient gives up or dies. I agonize over having to choose whether to wait one more day for approval or to go ahead with the surgery and potentially damn the patient, his family, and the institution, to assuming the financial consequences. If I do go ahead without approval, no one comes to my defense when administrators ask me why so many of my patients' insurers are not paying. No one rescues the bankrupted families. ...

  The third predictable insurance industry stall is the "expert" review. I would define an expert as a doctor who did a transplant or took care of a transplant patient this week. Insurers that review my denials define any has-been, retired, unemployed failure with a medical license an expert, paid to deny care. This is practicing medicine without examining the patient or seeing all the data. In effect, the licensed nurse or doctor working for an insurer is practicing medicine unprofessionally and criminally.

New on the Alliance@IBM Site:

• From the Job Cuts Status & Comments page
  • Comment 1/7/08: Ran into a trusted manager last week. He advised that in conversations with some of his executives, IBM will continue quarterly lay-offs until only Sales and Executives remain in the U.S. She told me she's just waiting her turn. If rank-and-file IBMers do not organize, then they deserve what's coming. Join the Alliance while you have a shot, else wait your turn as well.. -Anon in RTP-
  • Comment 1/7/08: Network services delivery AND sales functions sent to AT&T. Up to 5000 worldwide to go. Now comes the server side for SO and GTS. Serving more tired and used up human resources for Wipro! -Outsource Grim Reaper-
  • Comment 1/8/08: I took a new job in 6/07 and was called in on 11/13 by my mgr. and told she didn't think I was a fit for the job and I needed to find a new job by year end or I would get a 3 on PBC. She then said if I didn't find a job I would be offered a sev. pkg. I read the PBC page and it states you have to have consecutive 3 ratings to get let go by the company. I had a 2 last year. When I questioned the mgr. she said she could let me go due to performance. Does anyone know of any different rules. I can't find anything on the HR web page. -Anon-
  • Comment 1/8/08: Ref: "she said she could let me go due to performance. Does anyone know of any different rules?" Yes, they can. It happened to me last year. -Anonymous-
  • Comment 1/8/08: RE: Anon needing to find a new j-o-b **** Forget about looking up different rules. You are an "at will" employee, so you can be let go for no reason. I would make the manager document how you are not meeting requirements, if you have not been put on an improvement plan. Stop working and start looking for a new job - outside of IBM. You are on the disposal list and that marks your end with IBM. Keep collecting IBM paychecks as long as you can, doing nothing but looking for that new job; save every penny you can, as you will need it. When they come at you with the Severance package, smile and take it. Then start the new job you should have found by then. Mo-money and Mo-Happiness. -no-ky-

    Alliance Reply: You are exactly correct. Without a union contract; IBM employees are 'at will' employees and at IBM's mercy. IBM makes their own rules and breaks their own rules whenever they please and whenever it suits THEM. Regardless of whether you deserved a poor performance rating or not; you'll never know for sure because IBM holds all the cards. Organize! It is the best advice and the only real alternative.

  • Comment 1/8/08: The hard reality is that IBM can layoff whoever and whenever they please. Doesn't matter if you are rated a 1 or a 3. I think you are confusing being RA'd with being terminated. Don't make anymore waves so as to not jeopardize a possible severance package. Try to find a another position if that's what you want in IBM. Although why try to stay at a company who clearly wants most of their US workforce gone? IBM management and execs are scum. BUT don't worry, the managers will get theirs too. At least when all that's left are the execs, they can shred each other to pieces while the company goes down the drain. -ANONTOO-
  • Comment 1/8/08: A number of first line managers in Canada are out of a job after the STG reorg on Jan 03, 08. Maybe it's time they feel how tuff it is to find another job in 60 days or be on the chopping block. -sick&tired-
  • Comment 1/8/08: What about Watson Research in Yorktown?I can't see them outsourcing the only group that actually keeps IBM afloat. IBM would be long gone if it weren't for the researchers/scientists working at Watson coming up with all the inventions. -Anon-
  • Comment 1/8/08: You guys just don't get it. In a Globally Integrated Enterprise, no country is the flagship or lead country. Everything is up for grabs. In 2003, I personally saw the plans to move Research leadership overseas as the sales volume moved overseas. Zurich, Japan and Haifa were looked at as leadership sites. The glory days of Yorktown are over. The staff research member"perform" functions are already done overseas and the "leadership" is only in the US. Pretty soon you'll see that move to the top geography for sales. There is already pressure to move Research Division headquarters to either India or China. In GIE, nothing is safe unless it's protected with a union contract. -Globally Integrated Enterprise Slasher-
  • Comment 1/8/08: If the IBM executives could sell Watson to benefit their own gluttonish and greedy objectives believe me they will. IBM will buy and acquire companies that have the innovations and inventions or niche software, solutions, and hardware that they want to get their hand on rather than relying on Watson Research. They have been doing it for awhile now. ANYTHING to drive up the stock price and their own options. Without a union NO ONE is safe. -Anon-
  • Comment 1/8/08: "What about Watson Research in Yorktown? I can't see them outsourcing the only group that actually keeps IBM afloat." Hate to burst your bubble Anon, but most IBM Research work is done at these other locations: Almaden Research Center, Austin Research Lab, China Research Lab, Haifa Research Lab, India Research Lab, Tokyo Research Lab, Zurich Research Lab -Anny_Mouse-
  • Comment 1/8/08: Makes no difference what your PCB rating ever was. That stuff is pure BS. I never got anything but a 2 in almost 10 years and when they needed to cut heads I was gone. It is purely the managers choice on who stays and who goes. I didn't suck up like some others and by the manager coffee every morning so I wasn't on the favorites list. Don't kid yourself, anybody can be a target. Unless there is a Union, they can do whatever they want, whenever they want. -2PerformerLongGone-
  • Comment 1/8/08: I was RA'd after one 3. IBM can select you for the package no matter what your PBC. In the current environment, getting a 3 means you will be RA'd at the earliest opportunity. The two 3 rule is effectively obsolete now that all of the 3's from last year should be gone. But it is still in the personnel policies. If IBM wasn't trying to purge the workforce, you might have a fighting chance without a union contract. Now you need one to survive. -RA'd bear-
  • Comment 1/8/08: I know someone that exactly that is being done to. Was getting PBC 2s, never had bad reviews, now is being told he "lacks passion" for the business which is causing his performance to suffer, in ways that the manager refuses to actually document. It's bull. They have a reduction target they need to make, they round up candidates for termination, and do what they can to lawsuit-proof themselves. I'd have a shred of respect for them if they'd be honest and say, "Sorry, Bob, but you're part of the x% we need to cut this quarter to stay on track with getting rid of all engineering in North America within N years." Rather than this lying crap they make up because they don't have enough genuinely poor performers. But, that would spook the herd, and they need to keep grinding hamburger out of the cash cows as long as possible. -irRational-
  • Comment 1/10/08: It's the same tactic used globally in the so called higher cost centers. The most technically competent professionals in Higher Bands were forced to leave without a package after several years of service .Some chose to resign rather than be subject to the deliberate PBC 3 ratings . Staff over 40s (especially women who were easy targets) and higher bands of technical staff were targeted by Managers who were on Band 7, as a deliberate exercise to lower salaries. The young Managers (thugs hired for the job) who have no education or IT experience got promoted to second-level management for having accomplished the company goals. Mafia organisations will not survive in the IT industry! -Dr. Watson-
  • Comment 1/10/08: Aping the smaller competitors in the market is the strategy IBM is trying to adopt. To sell vapourware, keep the smooth talking, highly-paid Sales and Marketing, and contract slaves to deliver! They can then play the blame-palming game. The " Values" talks were to cover these dirty games. -Annie-get-your-Gun!-
• General Visitor's Comment page:
  • Comment 1/5/08: As I read the general comment section I wonder to myself what went wrong with the IBM leadership team. Sam Palmisano and he band of executive crooks continue to plunder millions and millions from the company for themselves as they move the company to India for cheap labor and lay off American workers. It doesn't take a genius to see what is wrong with this picture. The issue I have at the moment is why the IBM employees don't see it and support the Alliance so that we can do something about it. Rally support from your coworkers and support the Alliance. You can make a difference in 2008.. -Anonymous-
  • Comment 1/6/08: Well, Iowa results were promising! Not going to say who I had supported, but the idea that in a white state a black man won the caucus was a signal that in the U.S., ALL of us want change. And we will get it. There is no way in a democracy that people will tolerate thieves who steal from employees to make their millions and I think we have just seen that! I personally like Edwards, but I believe that even Obama, if elected, will change the course of things to come.... Au Revoir to the multi-millionaire execs--and their families, who have been robbing us for the last decade. Hey, Sam--hope to see one of your four kids on the cover of Star Magazine soon! You not only ruined your reputation, but that of everyone in your family with your 'policy 'changes. They are probably so ashamed--well, keep going to church, like Lou Gerstner did... It might not help but it won't hurt. You are a disgrace to all Italians in the U.S. Go back to Italy--actually, we don't want you (or your family) there either. So just go--and enjoy the millions you stole. Only you won't when you're on your deathbed, I'm sure. HOORAY OBAMA!!!!!!. -Anon-
  • Comment 1/6/08: IBM refuses to give employees the details of the sev package until they decline the AT&T offer. Nor will they tell you detailed benefit options if you take the AT&T job (like with HMO in your area) again, until you accept the AT&T offer. How can an employee make an informed decision when IBM wont give you all the options up front. All HR partner says it will be similar to other packages. This guy sucks!. -NSDSucks-
  • Comment 1/7/08: To NSDSucks: AT&T benefits are better...trust me...I was just outsourced back to IBM from AT&T. Paying $4-5K more a year for benefits(wife and 3 dependants), $1k more for lost phone concession (free phone, long distance, internet) and no longer have a retirement plan. Probably never see 12-13% yearly bonus again either like I received the last 4 years at AT&T. In my opinion, IBMSUCKS compared to AT&T. -IBMer again-
  • Comment 1/9/08: How much damage does it take to keep Palmisano and his merry band of executive crooks in power? Sam is an arrogant selfish idiot out for himself. He keeps a close network of executive crooks around him as his "yes" men and makes sure they all have millions so that they keep their mouths shut. I can't stand how Sam has ruined this company. Please, support the Alliance and help turn IBM around. Together we can make IBM the great company it once was. -Anonymous-
  • Comment 1/9/08: I had a discussion with my manager today, and we started talking about job classifications. Specifically, the I/T Specialist classification. for server admins He stated that he needs to move me to a new classification, but that everything is frozen right now because they are figuring out some re-classifications of all of the server administrators. He then strongly hinted that it was related to the overtime class action lawsuit. He gave me a very distinct impression that we may see something similar to what happened to deskside support a few years ago, where everyone was re-banded to a band 4 (if I remember correctly) and not allowed to work any overtime.Has anyone else heard anything like this? My manager thought that there would be some type of announcement in a few weeks. I'm really hoping that I misread his hints. -Lowly SA-
  • Comment 1/11/08: I'm one of the SSR's outsourced to Qualxserv almost two years ago.(Strangely enough almost all of us were 45+, what a coincidence.) Nowadays I deal with Dell, Apple, Sony and others as well as IBM/Lenovo. I have seen a definite decline in quality in product and support with Lenovo. At first they just produced IBM designs, now their engineering is coming into play. The boxes look the same but internally they're J U N K. System boards with jury-rigged connectors, and design changes even support doesn' t know about. I don't see how this crap will even outlast the warranty. Plenty of system failures. Support personnel have been decimated, sometimes you get the old hands who are good but more often than not you get somebody who worked at Burger King last month and now they're a computer "expert" reading from their prepared script and acting like we don't know anything. I really don't expect Lenovo to last very long when you can look inside a Dell or HP box and see at least some degree of quality. To top it off we have to beg for parts to fix their problems, like we can wave a magic wand and bring a dead processor back to life. If you're shopping for a PC or laptop, better look elsewhere. Sign me: Glad to be out of BigBlue. -Anonymous-
  • Comment 1/11/08: I just got a phone call from a law firm called Cerussi & Sprin. The attorney on the phone told me he was calling on behalf of his client, IBM! Apparently, someone is suing IBM for using Asbestos in their printer, collator, and sorter products. He had my name, address, and phone number correct. He said IBM gave his firm a list of employees to ask questions about whether they knew if IBM used asbestos in any of their products in the early 1970's and previously. Anyone else get the same phone call? -Somebody-
• Pension Comments page
  • Comment 1/8/08: If the stock market doesn't recover soon or make it back to DOW 14000+ and beyond our 401k+ will be no way near a replacement for a frozen pension plan. It is clear that for older employees who just had their pension frozen, time is not on your side for recouping funds lost with a frozen pension in a 401k+ plan. -Anon-
  • Comment 1/9/08: I see lots of messages about how the frozen pension would affect older employees. I retired in 2006 at 56, but since I never received a pay raise after hitting age 50, my pension was effectively frozen. It wasn't because of performance, as I was was always chosen to lead new projects. or take over projects that were having trouble. I was told that I had already had my pay raises, and the younger people would be getting what money was available. I was also told that I didn't get stock options because my "future time horizon" would not permit full vesting. That came from my second line manager. The options all proved to be pretty worthless anyway. I think for many older employees, the situation is similar. At least the ones that I knew told the same stories. Frozen pensions have been the norm for a long time. Remember IBM does not practice age discrimination. There is no need to practice when they are so good at it. -Anonymous-
  • Comment 1/11/08: Palmisano on deciding to freeze employee pensions: "..personally it was a very hard decision for me.." Huh? You got your SERP Sammy boy. Sure, your SERP is also frozen with your regular IBM pension now but I really feel for you that you have to live on a "fixed income" in retirement at about $7000 a day. I guess you'll have to find creative ways to live off just that amount :) Didn't IBM start up the SERP when Gerstner took the helm? He was shocked IBM didn't have a "supplemental executive retention program" since IBM executives were leaving in droves (?) and needed incentive to stay. Not too many executives left and almost all the top ones are still working as IBM executives. We all know it was set up as a "Senior Executive Retirement Plan". That's what the SERP really is! The executives ensured they got their real pension before the mess they created started. -Anonymous-
  • Comment 1/12/08: With regard to the recent post about IBM exec's having SERP, the poster couldn't be more correct. What I find interesting above and beyond the fact that IBM exec's are given SERP, is that many senior exec's have employment contracts with IBM as well! How ironic that the exec's understand and desire the protections written into an employment contract, but we employee's don't! What does that say to you? One thing it tells me is that the very people who made the decision to freeze our pensions, just like many of us, do not trust the IBM corporation either!! Who knows what a clause written in those individual contracts might guarantee an exec. One thing is for certain though, the exec's make damn sure they can sue IBM in a court of law, should IBM try to reneg on anything written into their employment contract. -Anonymous-

    Alliance reply: You are correct. A contract is negotiated between the company and the executives they hire. Not all executives get contracts, but those that do, have an iron-clad agreement with the company. The employees deserve the same. That's what Alliance@IBM has advocated and continues to advocate. If you want a contract, you have to organize and work to get one. It will be worth it once you have it.

• Raise and Salary Comments
• PBC Comments
  • Comment 1/12/08: Prior Yr PBC = 2+; This Yr PBC = 3; This Yr Bonus = 0; Prior Yr Bonus = 0; Message = 2% salary increase last yr. Dead Man walking in 2008.. -Dead Man walking-
• International Comments
  • Comment 1/9/07: Country = Canada; Union Affiliate = NO; Job Title = Support Spec.; IBM Division = ITD/NSD Canada; Message = IBM US NSD employees will be joining AT&T on Feb1, does anyone know about a Canadian move? -Future AT&T employee-

Vault Message Board Posts:

Vault's IBM Business Consulting Services message board is a popular hangout for IBM BCS employees, including many employees acquired from PwC.