IBM forms consulting unit
International Business Machines Corp. announced yesterday that it was starting IBM Consulting Group, a worldwide concern with a staff of 1,500, making it immediately a large competitor in the crowded field of business consulting. The new unit will offer both general business consulting and technical consulting in specialties ranging from computer networking to manufacturing logistics.
IBM began forming its consulting group 18 months ago, when Robert Howe was recruited from Booz-Allen & Hamilton, a management consulting firm, where he was a senior vice president.
Intel names new processor
Intel departed from tradition yesterday in announcing that the fifth generation of its compatible microprocessor line would be named the Pentium processor rather than the 586. Systems based on the Pentium processor, scheduled for introduction in the first quarter of 1993, will be compatible with the 100 million personal computers that use Intel's earlier 8088, 286, Intel386 and Intel486 microprocessors, the company said.
GTE Northwest settles suit
GTE Northwest Inc. has agreed to pay $1.2 million to settle a lawsuit that accused it of deliberately excluding women from top-paying jobs. The Everett, Wash.-based telecommunications company, a unit of GTE Corp., admitted no wrongdoing in settling the suit Thursday in U.S. District Court. Under the agreement with the federal Equal Employment Opportunity Commission, GTE is establishing a $400,000 fund to provide back pay to 60 female current and former employees.
General Dynamics to cut jobs
General Dynamics Corp. announced yesterday it would trim the work force of its Convair Division by 40 percent, or 1,680 jobs, over the next five months. Convair has 4,200 employees who build fuselages in San Diego for the MD-11 commercial aircraft. A statement to employees attributed the layoffs to a downturn in the commercial aircraft industry.
Sharon Steel laying off 500 more
Debt-laden Sharon Steel Corp. said yesterday that it was laying off an additional 500 workers, bringing to about 1,300 the number of employees let go this year. The company had about 2,700 people on its payroll in May. About 300 were laid off during the summer; 500 more were laid off in September. Last week, Sharon Steel idled its blast furnace and shut down its two electric furnaces. The furnaces account for all of the company's in-house steel-making capacity.