GM CFO Paul Jacobson said the reductions will include sales and marketing spending, salary employment, and other costs.
https://www.cnbc.com/2023/07/25/general-motors-gm-earnings-q2-2023.html
45 replies (most recent on top)
From what I'm hearing from my girlfriend in HR at GM:
- Salary force reduction (she told me HR will not be immune as well). No VSP buyouts. IT will probably be hit the worst. This will probably be broadly scoped before September 14th. She said they will be mostly going after people with big salaries (including people designated as critical technical talent as well) though college kids will be fair game as well (as not to get sued using their normal devious selection process loopholes).
- ISPs (this is not off the board).
- GM is considering Salary reductions (20-25%).
- Using performance reviews as stated (low performance people will be shown the door).
- GM will be checking who is coming into office now; anyone who has not been coming in 3 days a week or less (or who has excessive in person absences) will be flagged and candidates for workforce reduction.
- In either August, or beginning September, GM will be returning to office 5 days a week. Any employee who has issues with this will have a discussion with HR and their manager. Anyone with a problem with this, well....You will get flagged as a non-compliant. Corporate will follow their normal HR processes afterwards.
If I hear anything more, will let everyone know.
$44.75 billion in revenue and the reaction is to shave another $3 billion in "sales and marketing spending, salary employment, and other costs". Astonishing!
Just remember Mary's smiling face in that photo (in the linked article) when the layoffs start later this year.
GM is doing great, so why not demoralize it's staff with the threat of layoffs while repeating slogans like,"everybody in"? Almost everything being done is contrary to common sense. I strongly believe that the VSP was the carrot. After labor day, we are going to see and feel the big stick.
The same people claiming record sales.
If profit is so high what are they doing.
I think SGM is pouring large amounts of cash into GMNA to keep em a live.
The article doesn't say what kind of salary employee reductions but it does mention achieving the guidance they just raised is dependent on negotiations with the union.
The company is stoking fear of union action in investors and white collared employees.
layoff or buy out?