A “redeployment” program is underway at IBM facilities in Australia, and some 200 jobs are expected to be cut.

The Australian newspaper reported the news Monday.

Workers targeted as part of “Project Phoenix” have about a month to find another job within IBM or “risk terminiation,” the newspaper said.

10-year Contract

In other news Monday, IBM (NYSE: IBM) has landed a 10-year, $1 billion business consultant services contract with building materials supplier Cemex SAB de CV.

Mexico’s Cemex expects the agreement will help it drive sustainable improvements in profitability, starting with efficiencies of close to $1 billion during the life of the contract.

Some 1,500 to 2,000 jobs at CEMEX will be cut with some positions transferred to IBM, Reuters reported. The contract is the largest deal IBM has signed in Latin America, an IBM executive told the news service. 

“Through this agreement, we reinforce our commitment to transform CEMEX into an increasingly flexible, agile, and competitive global company. Moreover, this agreement with IBM will enable CEMEX to focus on its core businesses of cement, ready-mix concrete, and aggregates; improve its financial position; and respond more quickly to changing market needs,” said Lorenzo H. Zambrano, chairman and CEO of CEMEX.

The deal is expected to help Cemex better serve customers and maintain cost efficiencies after the contract is complete.

“This agreement will bring to CEMEX the flexibility to face the new challenges in the building materials industry. IBM’s state-of-the-art IT infrastructure, business processes and applications will help CEMEX achieve its goals of becoming more competitive. We see our strategic relationship with CEMEX as a powerful example of building a smarter planet.” said Bruno Di Leo, senior vice president of Sales and Distribution for IBM.

The contract includes services related to finance and accounting, human resources, information technology infrastructure, application development and maintenance.

IBM shares rose 12 cents at $196.51 in afternoon trading while Cemex U.S. shares fell 20 cents, or 2.7 percent, at $7.25.

The company employs some 10,000 people across North Carolina.