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At Hertz IT, sheriffs, shock and tough choices

Patrick Thibodeau | March 11, 2016
Around 75 of 300 Hertz IT workers will move to IBM.

Hertz's Masterson says, however, that the work with IBM "is expected to improve the delivery and reduce the cost of Hertz's existing IT services, many of which are on proprietary, legacy systems.

"Going forward, Hertz IT resources will be focused on development of future products and services for customers," he said. The majority of services will become cloud-based.

"This was a difficult, but necessary decision taken by the company," added Masterson. "Hertz is working to lower its operating costs company wide, and this includes a modernization program across several functions," he said.

Along with severance pay, benefits also include three months of outplacement assistance. IT employees can receive up to $4,000 toward retraining or skill certification, said Masterson.

One employee said he didn't see outsourcing expansion as having much impact. They tried this twice before, the worker said, "and Hertz is no better off than they were before," he said.

"I don't think this is good for Hertz or Oklahoma," the employee said.

 

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