Thread regarding Charles Schwab Corp. layoffs

Schwab missing the looming debt crisis (public and private) and the bond bubble is a case study of a failure in strategic risk management. 60% of the firm’s profit can be erased on a single Federal Reserve meeting and Murtagh and gang missed it? We've been living off of near zero interest rates for almost a decade even negative rates in some countries.

Q1 would be an excellent time for another layoff and I would be expecting another 2 rate cuts to help cement this. Do you think Schwab will ever ask for volunteers in the next round? I would be at the front of the line.

Thought it was interesting that we got an email from WB after the dust had settled emphasizing that there would be no more layoffs and that the company had prepared for the most recent fed rate cut. It seems that maybe they are concerned that people are preparing for the possibility of another cut.

If it is due to the interest rates... Then it's like Schwab got a big boner when rates were high and lost all self control. Then when they go down Schwab got all nervous and over corrected. Root of the problem is bad planning.

"Canned" aka "dismissed", "fired" however you want to put it. Big article in the Business Insider. Keep up.

Sorrenson with his insights & Ideas are still here. What are do you mean he got canned? He has more predictions for us. The prediction is interest rates will not continue to drop through 2020, at least Q3. And that's when interest rates will rise.

These jokers are worse than FC. They pretend to know a lot, wave a magic wand, with a crystal ball, when in fact they're just rolling a die. Heads we're up, tails we're down. Some experts.

This was 100% due to low stock price. Not the BS they’re trying to feed us

Yes, I do. And it got Sorenson canned.

And you believe Walt? They are the same people that anticipated interest rate rises through 2019 at the beginning of the year. Where did that get us?

Walt has already said that the layoffs were in anticipation of several rate cuts into 2020. They don't anticipate any more layoffs this year.

I was eligible for sabbatical in a few weeks. I didn't even get to say goodbye to my team. :(

I was laid off and I’m glad I got my sabbatical in

I was offered a job in July. My future manager told me to hold off on giving my two week's notice because of what was about to take place and I was told I'd have an update on whether or not the job is still around by early 2020. I'm assuming this is when everything will be final.

“In 2014, Schwab’s net interest revenue was just 38% of its total revenues but by 2018 it was nearly 60%. The higher interest rates in 2018 contributed to Schwab’s success and now falling rates will be painful for the discount broker and custodian”

Just do the math and draw your own conclusions in light of 25 bps cut yesterday.

I saw this on the other thread too. I have not heard this as a rumor, but it makes a lot of sense. :( Stressfull times! Maybe time to look for a new job, goal being to start mid march after bonus payouts. Hope everyone who got layed off had their sabbatical scheduled!