WF can save over $2 Billion dollars per year if they eliminated 90 percent of office space in US and had people WFH. How I came up with that number is that WF has around 230k FTE working in US. Average cube per employees per year is around 10k per year if you average it out per State. Let’s say that around 10 percent of the employees need office space since they deal with customers. So, if WF wanted to, they can save annually around $2 Billion per year having most of the employees working from Home. Also, if they moved their HQ from SF to let’s say Dallas or Charlotte they can save an additional $3Bill on State and City Taxes. That $5Bill per year savings with out firing a single employee. I do not make $36 mill per year but it’s just common sense. Something our current leadership might not have.
10 replies (most recent on top)
Uhm...why are you calling someone an id–t because they said not everyone wants to wfh? You sound like a mo–n.
@nfw and everyone else, why are you attacking people who say they don't like working from home? Just because someone disagrees with some of you, you go on attack mode.
I personally feel the wfh should be optional. If you want to come to the office, you should be able to. If you prefer to stay home, you should be able to . No, not everyone likes wfh. So, There!
@enl, I agree. I personally don't like working from home, either.
A few years ago at a previous employer, we had 2 different external companies run the numbers and both said private offices are actually cheaper than cubes. One said it by as much as 60% while the other said 35.
Here’s a fact 1000-1200 branches will go. Each branch avg savings $1.5 mill. 50k employees to go. Sorry but those are the numbers. Bank of America more than twice Mkt cap with 56k fewer employees. There’s your target.
For the id–t who said not everyone likes working from home, you are a total wimp. As usual Wells Fargo is behind the times and pushing to have people work from the office when many teams are scattered around the country. There’s tons of space out there with rows of open seats, yet when you try to get a desk, they say it’s full and none available. Been this way for years. Total joke and disaster like most areas in this company.
The reason why I think it’s closer to 10k is because NYC is around 25k per employee and Cali around 20k. Also, many managers have offices which is double the cost of a cube. So if you average it out it closer to 10k per person.
In many states, cost per cube is closer to 5k.
WF is constantly behind the industry trend the last decade. Prior to merging with Wachovia, the company was very liberal with working from home, having the largest VPN in North America. Since then it’s been poor planning by moving to the open, collaborative space where they pack you in and forcing people in. This all in a time when other companies moved away from that as no one liked it and it was inefficient. Now they are pushing location strategy in a time when industries are moving to work from anywhere. Give it 3-5 years we will be caught up to work from anywhere after wasting tens of millions on hub location strategy.
Not everybody likes working from home.