A spokesman told iTnews that the dhS`s component of the deal “is worth about $480 million” and renewed the 2016 lease and mainframe maintenance contract to 2023. The total value of their relationship has been close to $2 billion since 2005, after the last four-year Mainframe agreement was signed in 2016 for an almost identical $484.2 million. The new contract follows the implementation of the government agreement with Big Blue last month to synchronize major IT purchases across large and small agencies. DHS is also the process of creating a private cloud, which will first sit on hardware x86 and IBM Power Systems, which will contain functions of data lake, analysis and machine learning. The agreement – negotiated by the Digital Transformation Agency – is expected to cost about $1 billion over five years. The Department of Human Services has signed a $481 million contract with IBM, a human services provider, to continue to support its core environment. Sales of the mainframe unit continue to make a significant share of IBM`s revenue, with the latest financial results showing that IBM Z mainframe`s business has doubled from the previous year. However, it covers approximately $300 million in existing contracts with agencies, which means that the new DHS contract accounts for the bulk of the planned expenditures. Workers receive a mobility bonus, which must be paid as an annual package, in recognition of their continued commitment to these new ways of working. The new five-year IT leasing contract for computer equipment will encourage a long-term partnership between the two parties until at least 2023. IBM`s older systems, and increasingly the z14 central computer systems, remain the backbone of major government programs like Centrelink and Medicare. Victorian Public Service Enterprise Agreement 2020 (PDF, 6.33 MB) The adoption of changing priorities is essential to creating a safe and flexible framework for public service employment.
The parties recognized the importance of ensuring that employees could be used reactively to support government priorities.