Still on the table or are they figuring out how to get around that and just show you the door?
9 replies (most recent on top)
6 Months is better than surplus trust me.... 1 month since surplus and my vendor Manager asked today if I was ready to retire?? WTF... My response, no I am not ready and can't afford to...His response was that I should be looking for opportunities as funding at this time is minimal......
The cycle at other companies I've witnessed is thus:
Start with very generous severance package, like 2 weeks pay per year of service, no caps and other benefits. Most people are happy even if they get laid off, many would volunteer without a 2nd though.
Some years later when you've had to lay off more than you initially expected, Put a cap on the package of say 1 year pay, maybe drop some of the other benefits. Most people are still happy if they get laid off.
Realize things have gone poorly, either too many were hired or the business hasn't kept up with the times and there are huge swathes of employees that need to be let go, so drop the pay out again to 6 months, remove extra benefits entirely. Impacted employees not as happy, not as many takers for volunteer slots.
It's not enough, you've got even more to lay off, may be it's not all dead wood now, so the cuts hurt the business as opposed to only reducing payroll liability. Budgets are tighter, reduce severance to no more than 2 months pay, or 1 month notice and 1 month pay. Nobody wants to get cut now, and nobody will volunteer.
Oh sh–, we've hit critical and still need to reduce costs. Eliminate severance entirely, only give 2 months notice now, prepare for the fire sale of assets and hope someone like Clayton Dubilier and Rice or Sterling Capital buy up the pieces and turn it into a viable business again.
I wouldn't count on it. The whole need for surpluses and outsourcing is to not pay out extra monies in a lump sum. The idea of 6 months of pay is a long gone ideal for most.
This gets voted down? What the heck? Are you guys clueless. This is exactly what is happening!!! ATT is calling vendors, and asking them to take complete organizations, all the way thru L3! This is an immediate impact to the bottom line. Tech Mahindra, Accenture, Amdocs, etc...they are about to be the heart of ATT. L4s and above will laugh all the way to the bank!
No "is" not. That's not how it's calculated. Management caps at 6 months (50% annual salary).
Your severance plans (management, non management) are available on HR one stop for everyone to review. For management 13 years or more NCS it caps at 50% annual salary. Goes down from there with less NCS. Educate yourself.
I happen to check the policy yesterday, last updated 2015, so no changes.
Wrong, it still applies.
I wouldn't count on it. The whole need for surpluses and outsourcing is to not pay out extra monies in a lump sum. The idea of 6 months of pay is a long gone ideal for most.
Still on what table??