Technology icon IBM (IBM) - Get International Business Machines (IBM) Report has informed its U.S. workers that they must receive Covid vaccinations by Dec. 8, or they will suffer an unpaid suspension.
It’s about obeying President Joe Biden’s vaccine requirement for government contractors. “As a federal contractor, it is a business imperative for IBM to comply with this mandate,” IBM said in a memo distributed to employees this week and cited by CNBC.
“In light of this requirement, the policies of many of our clients and partners, and the easy access to vaccines around the country, we will now require all IBM U.S. employees to be fully vaccinated by December 8, 2021, in order to work at IBM.”
But IBM scofflaws get off easy compared to some other companies, including several airlines, where unvaccinated staffers will get the boot.
At IBM, non-vaccinated employees won’t get paid after Dec. 8 until they get the shot or shots, depending on which vaccine regimen they follow.
IBM shares closed Thursday at $141.81, down 0.4%. The stock has rebounded 13% year to date amid signs of recovery for the giant tech company.
Morningstar analyst Julie Bhusal Sharma puts fair value at $125 for the stock.
“In IBM’s second quarter, the company dealt with continued headwinds to its managed infrastructure business because of the option to now have public cloud providers manage workloads, while also benefiting from cloud tailwinds in its software and business services portfolio,” she wrote in a July report.
“But IBM won’t experience as significant offsetting trends thanks to the cloud in its results for much longer," she added.