Mexican cement giant Cemex has entered into a deal with IBM to create savings of $1 billion over 10 years. The deal will see the company outsource jobs globally to IBM as part of the companies cost saving measures.

The move is expected to affect between 1,500 and 2,000 staff and comes after Cemex posted heavy losses from the housing market collapse in the US and a $16 billion acquisition of Rinker.

Cemex Chief Financial Officer Fernando Gonzalez spoke to Reuters, saying “Starting 2014 is when we will have a full year of savings.”

The contract ranks as one of the largest outsourcing deals in Latin America.