Thread regarding Charles Schwab Corp. layoffs

Any sense on how many employees $500M in cuts equates to?

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| 3571 views | | 13 replies (last August 14, 2023) | Reply
Post ID: @OP+1o4HRyt3

13 replies (most recent on top)

$90k is too low. You need to account for benefits (healthcare, 401k match, HSA funding, etc). That's usually around 30% (ours may be slightly higher due to what's in our package). I would use $129k as an 'all in' number. Est buildings maybe give you $50m, so $450m left you need about 3750 in headcount (~10%)

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Post ID: @2soa+1o4HRyt3

Director level 60 here. Base pay is $250K. Bonus and the RSUs put me north of $300K.

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Post ID: @2vmg+1o4HRyt3

20% MDs. 18% directors.

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Post ID: @2okq+1o4HRyt3

Agreed the target is 5%. Announced Thursday to key personnel.

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Post ID: @1ebk+1o4HRyt3

@1xkq+1o4HRyt3

Not the case. There are 2 different 500M buckets:

  1. One 500M bucket is made up of real estate savings plus workforce reductions.
  1. There's another 500M bucket made up of final savings from shutting down TDA broker dealer ( e.g., data center, software and systems) plus workforce refuctions.

It's possible that the combined workforce reduction from the 2 buckets will be 500M, but we don't know that.

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Post ID: @1hbr+1o4HRyt3

Lots of directors going, who's average total comp is around 300k. I'd say probably around 1500 ppl.

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Post ID: @1mki+1o4HRyt3

@1qzz+1o4HRyt3 no it's $500m real estate savings and $500m headcount cut for a total of $1B annual expense savings.

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Post ID: @1xkq+1o4HRyt3

The lease savings of buildings closing will also take a bite out of the 500 m.

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Post ID: @1qzz+1o4HRyt3

@qsi+1o4HRyt3

When was this shared?

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Post ID: @iqd+1o4HRyt3

5%. It’s already been shared.

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Post ID: @qsi+1o4HRyt3

Around 500 if they really do inverted pyramid. Rick gets paid 10 million base salary. That’s easily 2% of the savings right there if we don’t account for his bonuses and benefits.

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Post ID: @hnt+1o4HRyt3

Base but also need to include taxes, bonus, benefits, “inverted pyramid”…

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Post ID: @ljx+1o4HRyt3

5,555 if you are using $90k as the salary for everyone. They will let go people that make more some that make less so I’m guessing 3k-5k people

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Post ID: @tix+1o4HRyt3

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