Select/open the contact -> Menu -> Edit -> Menu -> Join -> Select Contact to merge with.
I have to do this for every contact?
Yep. But it's not that bad. When you select "Join", you'll get a list of contacts that most closely match. It goes pretty quick.
Although it would be nice if there were a Merge Similar Contacts option that will go through your whole contacts list like some 3rd party contacts apps do (Go Contacts for example). But I've not yet seen any 3rd party contacts apps that play nice with ICS.
you could always join the contacts via google contact web interface
http://www.google.com/contacts_v2/#contacts
Isn't this the point of my google account? I thought it was suppose to do that for me. I see my contacts but they're not on my phone
Isn't this the point of my google account? I thought it was suppose to do that for me. I see my contacts but they're not on my phone