Thread regarding Xerox Corp. layoffs

Did you sign the legal?

No salary change.

No quota.

Has anyone received their new quotas or salary?

No quotas.

5 pages to sign that tell you how to get paid.
50 pages of linked comp rules that explain how X can keep from paying you - or take it back up to 13 months later.

If it takes 10x the number of pages to explain the details and catches of a plan, it may be too complicated.

I'm happy to hear that this is an improvement for some of the teams.

Our team has always been GP based and this plan is split along the three groups most sales teams have:

The folks who have under-performed the previous plan while make significantly more with this plan.

The folks that were 80-100% year in and year out will likely be within 10% plus or minus depending on the services component.

Those that maximized the previous plan across both services and hardware will make significantly less on this plan - largely depending on the quota setting philosophy utilized.

If the quota's are set to contain payroll and are generally unattainable - especially service - or attainable only after September, then they will be impacted dramatically.

You're never going to make everyone happy. Creating opportunity to make more money is a kn--e edge for folks that get paid big dollars to contain costs and increase shareholder value, which is their driving force.

For our group (your mileage may vary), this plan potentially harms those that have drive the success in our core the most.

Our sales team is excited about it for the most part. We were not GP based so this plan pays way more per transaction after playing with the calculator. Still need to understand the digital services portion as there are a lot of questions.

Same? Really?

I heard there were between 350 and 500 plans with all the tweaks imaginable, so statistically I guess it would match someone's previous plan.

This isn't nearly the same as ours has been structured.

Many cores have been using this plan for years and it’s nothing new.

Loyally here for multiple-decades without a non-compete.

Not signing one now.

I’ve run multiple deals through the new plan and every single one pays less.
The deductions for not hitting standard service or escalation for example hit hard on the back end of the plan and aren’t attainable if there’s a heavy focus on new business (which we have to do given our base is opening their eyes to the deteriorating levels of service and support).
Ive been loyal and stayed based on increased opportunities (more accounts because of less people) and earnings growth. This is clearly not sustainable.
This coupled with the pending FTC and non compete changes , I’ll be looking to join an independent dealer - I’ve resisted until now but looks to be the right time finally.

I see both viewpoints.

I think it definitely could have been worse. It also could have simpler and the flaws I see, are easily addressed, but are not likely to be anytime soon.

Depending on the role, and the previous plan you were under, it may indeed be more lucrative than before - there were hundreds of different plans and titles within XBS.

The fairness of the plan is all around setting quota so that it is hit with enough months left to recoup the new plan's lower base payout.

Again, that's just on hardware, with only limited service opportunities, and for my role.

I also agree that not having quotas set prior to rollout was shortsighted, and it was a mistake not having real-world, historical examples which could have filled in the blanks for imaginative sales teams.

Our region doesn't have its quota yet. It's not possible to run the numbers without those. If yous are all set, then they may accurately reflect the positive comment.

While simpler than before, it could be simpler still, which woukd also have the benefit of making it easier on the admins and fairer to the team. It would reward both the company and the performer in the month that the sale occurs and the revenue is recognized by X.

It is surprisingly a fair plan. Thought they would sc--w it up more honestly. Like anything else they can’t and won’t please everyone, but whats new.

Not sure what region ya’ll are from, but in every scenario we ran against old comp plan, the new plan paid significantly more. It’s simple to understand. Feedback has been positive so far outside of a couple outliers.

Brilliant, revenue falling off a cliff so let's mess with the rep compensation. Anything to get that last bonus, right Steve?

I ran the pay plan against my transactions from 2023 and 2024. My pay was 36% less under this new plan, without factoring bonuses. For all sales, the only potential higher pay is in profit margin selling used equipment. Every other single section of the comp plan is worse when factoring reality. The down lifts sprinkled throughout the comp plan coupled with the lack of bonuses will quickly demotivate salespeople. Kudos to Xerox for coming up with a creative way to reduce headcount “voluntarily”. The one reason sales stayed was because the pay was considerably better than other immediate opportunities. Now with a substantial commission decrease, along side the HCL back office nuclear bo-b of customer and sales frustration, and poor service support, salespeople will quiet quit and find other jobs shortly after upgrading the remaining opportunities. For any of you thinking the New Customer rate is going to make an impact, think about your relevant SME who supports you and how many opportunities they brought you. Think about how you could realistically and more importantly honestly praise Xerox to a New Customer.

I agree with the previous poster.

The incentive should either have a quarterly, or even better, simply have it applied monthly. That way, there's no way to use a high quota and 100% annual attainment requirement to limit compensation.

Doing it monthly also simplifies the calculation requirement for the offshore payroll team.

Honestly, the biggest issue is that quotas aren't yet available, there is no calculator to do the test, and without an official calculator and this data, running "what if" scenarios is difficult.

While there were way too many pay plans, changing this mid-year and not having it ready to go out of the gate - after over a year of discussion within the committee set up to create this, indicates a lack of strategic AND tactical vision.

The lack of a calculator blessed by the company also means that the offshore folks doing payroll, don't have the tools to properly admin their team for July payroll.

The new sales comp for XITS (XBS IT) will reduce sales commission on hardware sales by 10 - 30% as the annual quota has to be met before incentives kick-in instead of paid any month where 100% quota is met.

Service payout could be 50% or more less based on this plan. Previously it was revenue based, versus GM based. It was done this way since nobody could figure a true service cost of goods for service and they are padded beyond belief.

This plan isn't competitive within our industry, so folks are preparing to move on and the business will follow.