IBM scraps rewards program for staff inventions, wipes away cash points
IBM’s decision to scrap its long-running inventor rewards program and void accumulated patent “points” is seen as both a cost-cutting move and a blow to employee trust and morale. Commenters argue that the old incentives were already modest, often led to low-value or gamed patent filings, and that replacing them with a new, incompatible points system without honoring past awards effectively devalues employees’ contributions. The change also prompts broader criticism of IBM’s culture, management practices, and the diminishing strategic importance of large corporate patent portfolios.
Perceptions of IBM and its Trajectory
- Several commenters who worked at IBM describe it as a depressing shadow of its former self, with poor pay, overwork, and hostile management around raises and recognition.
- IBM is seen as relying heavily on acquisitions and consulting, with a sprawling, messy product catalog containing buggy or abandoned software (e.g., Maximo, QRadar).
- Long-time observers note that IBM hasn’t been a “shining star” in American business for a long time, despite its historic technical achievements.
Patent Reward Program Changes
- The canceled program gave small cash rewards per patent and plateau bonuses (e.g., ~$1,200 per “plateau” for multiple “high value” patents), which many see as underwhelming relative to effort.
- IBM is replacing it with “BluePoints” but is not converting existing plateau points, effectively wiping out accrued, expected rewards.
- Some view this as straightforward cost-cutting and a one-sided clawback of what feels like deferred compensation; others think it’s likely legal because such schemes are structured to avoid that classification.
Effect on Patents and Innovation
- Multiple commenters argue the old program incentivized gaming: mass filing of low-value or “garbage” patents, managers adding themselves as co-inventors, and patenting as a box-ticking exercise for promotion.
- Some welcome the change, expecting fewer useless patents and seeing this as a net societal gain.
- Others warn that without meaningful financial incentives, employees won’t bother with the hassle of patenting, weakening IBM’s long-term patent portfolio.
Broader Incentive & Morale Discussion
- Many compare IBM’s payouts to other firms (e.g., $3k+ per patent, significant bonuses, or meaningful prize structures) and find IBM’s rewards demoralizingly low.
- Thread-wide consensus: trivial or opaque bonus schemes harm morale more than they help; sometimes it’s better to have no program than an insulting one.
- Several highlight that patents often serve litigation, cross-licensing, and optics (“patent counts”), not necessarily product innovation, and that patent incentive programs frequently produce perverse outcomes.