The effects of layoffs are noticeable every day - the situation here is getting worse because they laid off the wrong people they should've tried to keep in every way. The effects of layoffs are such that they have brought this company into such a state that even those remaining talented people want to get out of here. Their cost cutting measures did not bring anything good.
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Heard their CIO is also retiring end of this month....
Senior executives have left / or leaving the company because they know it is a sinking ship. Zero growth for many years plus PFAS / ear plug liability looms large over the future prospects of the once iconic company.
They did not leave in protest as one commentator has pointed out. To succeed as an executive or top level management person in the company, the no. 1 criteria is sychophancy or "toe the line" attitude. Hence protest or not conforming to the prevalent corporate philosophy is not tolerated and is a career limiting option.
Where are the past 3M executives now...
- C. SHIN - CEO, LG Chem
Nick Gangestad - CFO, Rockwell Automation
Paul Keel - CEO, Smiths group
Ty Silberhorn - CEO, Apogee Enterprises
Kristen Ludgate - CPO, HP (going in July 21)
Reliable sources that they are facing enormous raw material headwinds and transportation delays (I.E. need air freight), and business teams could not keep up with price increase.
Looks like margins are going to be squeezed badly!
The cuts are all about the numbers and reporting operating income to the street. Roman can talk all he wants (which he has done in a very confusing and convoluted way) about Advance 3M and how it allows the company to do more with less, but that seems very much like smoke and mirrors. Someone in HR, finance, and maybe even Roman himself, had the idea that they should layoff senior employees to shed their relatively high salaries and stop accumulation of their pension benefits. Seemed like a good idea at the time from the company's perspective and it was repeated 3 times over the last 3 years, but now 3M is paying the price. This is incompetent management and a short-term "fix" (reluctant to call it that because it hasn't really improved the stock price) that is having real consequences. This is one of the problems with publicly traded companies generally, and in 3M's case, it's been compounded by incompetent management at the highest levels.
Significant layoffs have not been needed at 3M in many years. Any large amounts of 'fat' in the workforce were removed in McNerney's reign of te---r. Since about 2010, all the large cuts have been mostly 'muscle', and in the last 2 years 'vital organs' are starting to be sacrificed. 3M is barely staying legal for regulatory matters, and can't even properly manage strategic suppliers. Backorders are climbing, customers are angry, and lots of employees have basically given up.
There are bad employees just like always, but the ratio seems to be about constant. Being so shorthanded had just made their presence far more visible.
The exodus has been underway for at least 6 months, and is really starting to accelerate now with Covid approaching its end in the US. Top talent under the age of 45 are mostly running for the exits and quite a few people are pressing the retirement button right at age 55 to go get another job for 5-10 years. On the positive side, it looks like several competitors are paying 20%+ raises to get the best of the 3M refugees.
Even the Chief of HR and Chief of Business tranformation have jumped ship..
What does it say?
totally agree, its frustrating, the experience of the employees let go and the doubling and addition of more tasks to current employees does not bode well, as long as the managers....ahem,, move up a level,,senior managers are catered for, the company will prosper...................not