There's only so many people they can cut before the company can't function properly anymore...
13 replies (most recent on top)
Like weight loss, you can always take another 10% off.
Just collect paycheck until they start bouncing, that is when it’s time to go.
Get other forms of income too, this one we all know will implode one day
It’s going to be a doom loop. A slow-motion tragic malaise that plays out over enough quarters that the survivors are like those frogs in the pot of water where the heat is turned up slowly so the frogs don’t even notice they are being boiled alive.
No, it can go on ad infinitum. Spans and layers, natural attrition, poor performance, termination for cause... all can occur even as aggressive hiring goes on. It’s better understood as a controlled decrease in the overall workforce. It’s looked upon as a shift from quantity to quality.
~10% / yr for the next 3 yrs. that will get us to approx 200k. BAC and Citi both have approx 200k and have revenue in the same range as WF. JPM has abt 250k but has about 30% more revenue.
@cyw+17lTvvKB nailed it.
Norwest management was very much into the 5 levels of auditors for one job. So many people existing just to gather information and repackage it for someone up the chain, no actual work being done.
Hopefully they get rid of the people who are inefficient but know how to play politics rather than the ones who hate politics and get sh– done.
I agree with @dfu. It’s going to be more like 25%. 65-68k.
I have 6-7 people in my daily work life who do nothing more than watch my work, and ask me to send them pieces of paper that contain information that is already reported and stored in a system, often multiple systems. They get in my way, make my job difficult and are not even my manager. I am a highly paid IC, not a loan processor.
These are groups that can be cut today, it would be a welcome change for those of us drowning in paper and process that duplicates in triplicate.
You all are cute thinking it's only going to be 10% or 25,000. We are overstaffed by at least 60,000. None of our peers have even close to our headcount. The cuts will be substantial and transformational. WF will look nothing it looks like today by the time Chainsaw is done butchering.
How much is too much? Check out Bank of New York Mellon. Charlie certainly left his mark there
yeah, obviously it's not forever. They've said it will take several years which likely means cutting the 10% in about 5 years. You need automation to replace some jobs and other types of restructuring and selling of businesses will get rid of others. Can't just rip off the bandaid when you're this large. I would expect big announcements before year-end so Charlie can justify he's doing what's necessary.
You think 25,000 over two years out of 272,540 will be a show stopper? I wouldn't take that bet.
It's either you get cut, get severance, and find something new or retire. Or you don't get cut, buy you do your job plus the jobs of the people cut, and no increase in pay.