I worked at wells, MD level in securities business, I was fired for reporting management that was violating securities regulations. They took my restricted stock, defamed my U4, and management used every Wells lever they could to end my career. They failed. I am still standing strong at the top of the industry. I, more than anyone, would love to see Wells collapse. It won't happen. Still, they will sell off businesses, significantly shrink other, like their mediocre of a securities business. Hopefully, the corrupt management will be rung out. But, rest assured they will be paid.
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Completely agree abt the comment on junior MDs from JPM.
Instead of the big guns like Dana Deasy, George Sherman or Rohan Amin, we got..... ahem.... well....
@1jlv+17Uf0tka - you are spot on.. like you, I too joined from BOA only last year. My ol place was very bureaucratic ans hardly anything got done. This place is a lot worse. The medicine being applied may be worse than the disease. The new management being brought in to solve our problems were not too successful elsewhere. The JPM crew coming in were junior MDs. Here they are heads of tech functions! I think they are just assuming that if you are existing employee of Wells Fargo, you must be useless.
@1zpk+17Uf0tka - it looks like you are the OP. I am the one who used the term a former disgruntled employee when describing the OP. I stand by that statement .
Was it fair to you ? Absolutely not.
I hate a corrupt organization getting rid of the good person under false charges .
As a matter of fact , it happened to me in another place that is not even considered so corrupt as Wells (although I think they were at least as corrupt if not more).
Any how, the problem is that Wells is totally in a mess. The organization needs to be salvaged to so that 200000 jobs and lives can be saved (assuming 75k job losses are given).
The reason the US dropped the atomic bin on Japan was to save lives in an aggregate sense. Lots of horrible deaths, absolutely. Better than even more deaths that would have followed had it not been for the two fat boys dropped in 1945.
Similar story here : do you get rid of 75k now or let the organization survive (and save 200k) or do nothing and let all 275k become unemployed ? I think the starkness of the situation should be obvious.
Madoff was able to get away with scamming investors for five decades because he surrounded himself with weak incompetent people.
A quantitative financial specialist named Harry Markopolis smelled a rat and raised the alarm about Madoff multiple times before it imploded, but no one wanted to listen. Those who lacked financial intelligence were not able to follow his reasoning. Others were suspicious, too, but chose to look the other way. It was a $65 Billion Ponzi scheme carried out over 50 years.
The fact is that there were plenty of yes-men here at Wells Fargo who supported and defended Stumpf and Tolsdedt back in the day too. And it was those same people who allowed the fraud to be carried out at Wells Fargo for many years, which resulted in the one of the most costliest bank penalties in history. And I’m betting they called the Whistle Blowers at Wells Fargo “disgruntled employees” “whiners” and “complainers” right?
Dictionary:
YES -MAN
noun
a weak person who always agrees with their political leader or their superior at work.
HEY YES-MEN!
I’ve got your back! It’s not your fault! It’s dysfunctional leadership. Whew! See below:
The Yes-Man Problem:
I don’t think most so-called "yes" people get that way because they seek to s— up to the boss. In my experience, most people get this way because they are responding to a culture or people in management who elicit and reward this type of behavior. Most so-called yes men are doing what they think they need to do to survive on a dysfunctional leadership landscape where all the signals and messages confirm for them that dissent is bad and agreement is good.
Of the many factors that contribute to a culture of yes men, a big one is when decision makers frequently surround themselves with ‘like-minded’ people (e.g., management consultants, executives and managers) and then reward them for constant agreement. When this happens, the team and organization will eventually fall short of its collective intelligence, collective creativity and collective ability to innovate. Not much undermines leadership effectiveness like surrounding yourself with or creating yes men who fear expressing dissent.
This post is clearly from a former disgruntled employee. Trust me , I have been in a similar situation in my prior company (a very very prestigious Wall Street firm) and similar circumstances brought me to Wells a year ago. As much as I see some of the valid points made in the post, many things predicted will not, and cannot come true. What Is undeniable: Wells is basically a giant bureaucracy with lots of redundant , confusing policies with inept people enforcing them very religiously , protected by the status of a bank. The problems cannot be gotten rid of by simply doing a lip service to removing some low performers . Ironically, the people who are implementing the stupidity are considered high performers. So while some cutbacks will help in a general sense unless there is a wholesale regime change, the organization cannot be savaged. This is where Charlie comes in - a person with no connection to this org and most of the new people are similar. Some ok, some like me were not doing well elsewhere and this was supposedly a good opportunity. Except that it may not be. The senior newcomers have been asked to ask a basic question to everything that is labeled as ‘required and cannot be removed’: WHY? . The very act of asking this simple questions will stop some shenanigans . So why I think we will be ok as an organization although many of us personally will be impacted : the Bank is a SIFY and plays a fundamental role in many markets. Profitability will return in 2-4 years. If you are in your 40s or early 50, it is worth staying and seeing how this plays out since you have some savings, hopefully and this may work out. If you are in your twenties , look around . If you are in your sixties - sorry, you should retire and enjoy life. Why shorten your life with daily anxiety? Just my two cents. If you agree press the up arrow.
@1jk have you heard of supply and demand? Wells has to pay more due to reputation so risk. When you’re bringing people in to fix a problem there’s a price premium compared to bringing them in when everything is fine. Why are y’all brokies so worried about what someone else makes anyway
@1plc+17Uf0tka if mgmt sees the current state isn't sustainable, why are they creating new high 6 and 7 figure roles for friends? If we need to cut expenses, why are those people getting paid that much for previously unnecessary positions? Do better Corp comms.
Post ID: @1plc+17Uf0tka
I tend to agree. WF is basically a savings and loan and should focus on that until things get sorted out and we get out from under the asset cap. Selling the private label credit card business to Synchrony or someone else seems like a good idea as is divesting some of the other non core businesses. Simplify operations, bring in some cash and start getting expenses under control. Not a job for the faint of heart but certainly doable. I'm holding my stock and expect it to do well over the long term.
By the end Enron was basically cooking their balance sheet. They didn’t have any assets at all. I get it wells has hurt all of your feelings so you want to see the big bad bank go under but it’s not.
This new team is realizing the bank in its current form isn’t sustainable. We got away from bad sales practices but didn’t change the business model to reflect that. Those of you who actually worked here during the stumpf days know Wells was meant to be a one stop shop for financial services. Whether it was a personal account, mortgage, business account, auto loans , brokerage you name it wells had it. That isn’t sustainable because you can’t maintain oversight of all those businesses so you end up with scandals and it’s hard to be innovative so you end up falling behind.
What this team is doing is selling off the businesses that aren’t profitable (which in turn will cut expenses then increase profits during the asset cap) and then innovate the remaining business lines.
Wells is still one of the larger retail banks, auto lenders and mortgage lenders. That alone means it won’t go under so long as it sticks to what it’s good at.
In my opinion that’s why the asset cap was put in place. Not because of the scandals but to let the bank know it’s gotten too big to maintain so it needs to get smaller.
So go ahead downvote , whine and complain. Call me corporate communications. Show off some financial numbers that compare a bank with an asset cap to those without one. Act like planning to cut expenses by 10 billion isn’t a plan blah blah but the stage coach isn’t going anywhere.
@1kti+17Uf0tka, Arthur Anderson really didnt fail, it change the company name overnight and a new company was born
EC. Glad all is good. Many others with your same story. We just have to wait for regulators to investigate and dig in someday.
Who wants to guess anonymously who this is?
Yes, ... upon rereading. simply confused. but majorly unhinged from reality.
OP is oddly close but dominantly... simply confused.
Better (more accurate) statement: Wells Won't Fail but will be sold off in pieces to well run institutions.
Any one remember a tiny bank called WAMU?
@avy Exactly!
No one at Enron and Arthur Andersen thought they'd fail either.
Wake up, people! Those in denial are boiled frogs.
Was Wachovia too big to fail? It failed!
Too Big To Fail does not mean we get to stay in business no matter how ineffective, corrupt, short-sighted, non-transparent and self -serving our senior execs were. I’ve seen nothing noteworthy that this new team is any more effective, transparent, benevolent, honest or visionary than the old team. Except they are getting paid a lot more, which is not a check mark for the positive column, IMO.
No one knows, really. Not the supporters, not the detractors. It’s all a big shell game. So far the only winners have been the senior execs.
I’m glad to hear you are thriving.