40,000 people
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So far behind the times. The 10 year trend has been to eliminate offshore dependencies. 20 years ago we all started trying this business fad. Guess what it failed and now we’ve spent the last decade escaping from it.
Offshoring will be huge. You can hire 4-5 people in India to replace one here. So say 2 are needed, win.
@fay
In theory, you're correct, but the more Wells automates, the more people we need to fix what it screws up. Not the fault of the product, but the amateurs creating the tasks.
Actually the avg Wells salary is about 129k
Selling entire businesses that employ thousands of people will take care of a chunk of this. Hopefully those folks retain their jobs at their new employer.
India makes about 20k a year.
thats around 8usd for a 45 hour week.
typical wells salary is 4x that
lift and shift, which they have announced extensively, is simply moving from high cost labor pool to a low cost labor pool.
If you are reading this in usa, you are of the former.
Perot called this a "giant s—ing sound" which is akin to "wrecking the country"
https://youtu.be/xQ7kn2-GEmM
The cost saves are not just from head count. You're not going to lay off a large percentage of the company. And even with head count reduction, some of that is not back filling people who quit or filling open positions.
There are also operational saves - tech expense, real estate, etc. etc.
This is a dumb post.
@xjp - Average salary might be $75k, but if WF cuts a $75k per year position, they save more than $75k. There's bonus, benefits, unemployment insurance, SSI match, physical space, equipment, etc. General industry estimates are that the true cost of an employee is 1.5-2x their salary, depending on the type of employee, state regs involved and range of benefits offered.
I think it will be worse - tech spend on automation will increase a lot and the offsetting people losses will be even greater. Plus even more offshoring to India
FTE cost is more than salary.
75-80K headcount reduction is on the books.
The ave salary is computed at 75k, ding dong. Oh, and its not all people, its brick and mortar branches, technology, re-stacking in high rises, etc. that will get WF to the number they want.
I agree with @mad. Cs said 25% getting cut. That’s about 55k.
We are heavy by about 60000 compared to our industry peer group