Leadership has been saying for years that they will reduce headcount. At various times they've communicated estimates on the total % of staff that will be let go. Since it seems like death by a thousand cuts is the approach, it's difficult to track. What do you think is the magic number?
I'm guessing somewhere around 140k domestic employees. That's about 35k less than we have right now.
That was Tim Sloan calling for a 40% reduction before Elizabeth Warren called for his head and got it! Enter Schart and bring on the clowns!
@ntv+1ntezYdv - "However I took a screen grab because in the corner it said "42% headcount reduction over 7 years" which very much got my attention because 2020 was before the major layoffs had begun. Backing up to 2020 when employee count was about 270k a 42% reduction would be 113k by 2027, for a final value around 156k."
This sounds right to me. Obvi I was not in this meeting or any meeting where this was shared. But if you look at the numbers - they want at least 30% of employees to be in I&P. 156k US (70%) and 67k I&P (30%) = 223k total puts us much closer to the employee total the bank is trying to get to. I think 210k total is what is largely cited around this site and per leadership's calibration with other large banks.
The 270k number in 2020 is probably higher than reality because it includes contractors if it came from Teamworks. So let's say 20k were contractors and the employee count in 2020 was 250k. Apply all the same math and 58% US employees remaining is 145k. 145k US (70%) and 62k I&P (30%) = 207k, which meets the 210k goal and gets leadership their third summer house and a new yacht in Greece.
We are just trying to cook the books and make finances look good at any cost.
I’ve spent hours on a the phone and on chat only to never have my problem resolved. They are beyond useless. I did finally run across a site that gave me my answer. There is no point to having this help if they are ineffective. I would rather have fewer well-trained help than 100s of pointless people giving me the same canned answer.
Have you noticed that every month that they are getting rid of U.S. workers at WF our technology gets worse!! I can't have one day with my computer not freezing up or some software not working. It's getting to the point that it's not even just every day but every hour or two. If India can do our jobs, then prove it because all I see is that they either get the easy work that doesn't involve any analytical thought outside a set of 1,2,3 procedures or the technology is getting worse, not better since it's being sent there. And no, you can't just push a bu-ton and have the computer sp-t out this stuff without error. Our computers can't even run Microsoft basic products any more, let alone some AI. Whether you want to believe it or not, human analytical decision making from experience can't be replaced. Try calling any 800 number for customer service with a question that doesn't fall under the set choices for help they offer. WF cuts, cuts, cuts expenses but when you can't get the work done, eventually the company (not "the firm"!), will go under. This bank is no longer wanting to do banking. Not sure what will end up being left anyway. Wealth management is not the answer for WF. What rich person wants to put their wealth in WF with the reputation? It is a sinking ship. I doubt the customers even know what WF is for any more because advertising you are getting rid of major parts of the banking business is not a way to keep banking customers.
You might be right, but I don't need a career, just a few more years so I can retire. When I get close, if they wanted to can me and pay a severance for me to go away, that's cool too.
Charlie is cutting another 60 percent in the US. He will be moving more and more jobs overseas to India and Philippines. Get ready for the ax!!!!
I had a screen capture from one of the management presentations back in 2020 where it was a huge sheet and the presenter (I forget which) had 20 things on the slide and was only talking about one box of the slide in question.
However I took a screen grab because in the corner it said "42% headcount reduction over 7 years" which very much got my attention because 2020 was before the major layoffs had begun. Backing up to 2020 when employee count was about 270k a 42% reduction would be 113k by 2027, for a final value around 156k.
Obviously that was back in 2020 and we're now halfway through 2023 but also employee count is down to what, 230k already? And that was with layoffs put on hold for the first 18 months of the pandemic. I think it's very reasonable to expect the 2027 number to be in the 156k range or even lower, especially since they hadn't decided to do away with home mortgages back in 2020. Maybe the cuts will continue until 2030 or so and end up around 120k employees left.
Either way, it's not a company you can have a career at anymore. You need to look for growing companies if you want a career. This isn't bias, this is common sense. Think about it: where are you more likely to grow and advance? A company doing constant layoffs, or a company that is growing? The answer is obvious.
I'm sure they will, but there's a big difference between squeezing a little more efficiency out of a team when/where it makes sense and slashing and burning with reckless abandon, consequences be damned. We're S-canning about a 1000 people a month. It's wholesale destruction.
It's never going to stop. They will always look for ways to eliminate more jobs. They are just trying to "right size" now. But automation and AI will continue to nuke jobs well into the future.
That ratio won't get better so long as those at the top keep doing stupid things. Every employee has seen massive amount of waste, and almost all of it is pushed down from the top.
Watch the efficiency ratio. Reductions in hc wont stop until we r in line with chase and b of a
spans and layers has been implemented in some areasnamd not in others. in my lob it has staryednand stopped multiple times over the last few years but finally seems to be moving forward with some groups recently going through it. while it can cause layoffs in my experience the managers who are no longer managers just become and equivalent IC from a title/pay standpoint.
Post ID: @kin+1ntezYdv
The push is for each business to have their “fair share” and get to 30%. And then each team. Etc. Not all are there yet.
So desired state, if all things remain current and each business & team gets to at least 30%, will sadly become much larger than 30% at the top.
There's already more than 30% overseas. Roughly 33% today.
What happened to spans and layers? Was it another BS propaganda? We have too many middle and low level manager who create unnecessary bureaucracy, inefficiency, and get in the way of work being done all in the spirit of FAKING value added. Some are now trying secure their positing by labeling themselves as essential controls!
The goal is at least 30% of employees to be in India and the Philippines. It’s not a 1:1 for US displacements as there are other factors but overall the ratio expectation is 30% outside of US.
Has more to do with ratios. Expense ratio, efficiency ratio, rev per heads, etc. If we can't grow, that's just more heads. Right now, we can't grow. If we do grow, probably less heads. Government never thought about that with the asset cap
Magic number is 8. Eight is Great! Gonna run this bank with 8 peeps before long. They will all go to the office daily.