NiSource jobs outsourced to IBM
Mervillville-based NiSource Inc. has teamed up with IBM for its business support services. This move is seen to cut some 445 jobs nationwide as part of the $1.6 billion deal.
Starting July 1, 530 NiSource Inc jobs will be shifted to IBM over the course of the 10-year agreement. NiSource spokesperson Carol Churchill explains the move, "This will allow us to focus on our core businesses, and that's providing pipeline service and distribution services to our customers."
Departments from which the jobs will be outsourced are:
- information technology
- human resources
- accounting
- purchasing
- billing
- collections
The NiSource employee roster covers 8500 employees in 14 states and works with its subsidiaries like Northern Indiana Public Service Coin delivering electricity and natural gas to 3.7 million consumers from the Gulf Coast to New England.
Costs on NiSource’s part is projected at $35 million covering one-time severance expenses and another $35 million in transition costs. The move has been met with approval as union members are not affected by the deal.
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