Thread regarding AT&T layoffs

@iyp, you’re getting some excellent advice which everyone should heed. In a perfect world, you should be able to direct "their match" to your 401k, but that’s not the way the rules are set up....their matching money is "their gift" to you....they choose the gift, if that word is wrong, call it an incentive.

It was suggested you put eyes on your portfolio every 3-6 months, while keeping your exposure to T stock at 3%, and adjust as you wish...an excellent idea, even if T wasn’t your only concern.

Everyone, don’t get caught up in the philosophical "mumbo jumbo" of T’s methods of matching contributions, or how they choose to distribute them.....they are well within their legal rights. And as another put it, of thing to worry about, "this has got to be near the bottom."

My best suggestion, seek the council if a Certified Financial Planner (CFP) to bring focus to your finances. I waited until I was in my mid 50's and regret not doing it 20 years earlier....Fidelity holds your work investments already, no harm in starting there.

@iyp: And you do control what happens with your portion of your 401k contribution. T provides an additional match incentive and decides to award it in T shares. Of all the things to complain about, this has got to be near the bottom.

@1gvh. It’s true the C suite certainly hasn’t covered itself in glory. They may well be overpaid. I was merely pointing out that $500000 would be insufficient for attracting top level replacements. Randall et al. are likely going to be around for a while.

Keep no more than 3% of T in your portfolio, rebalance every quarter or 6 months, simple.

@obq- OTOH, Randall and the Johns sure aren't earning their compensation are they? They are ruining this company. Throwing more money and stock options Randall's way isn't going to help his performance, it's just a waste of good money.

If you don't like having your 401k matching investment in T stock, then move it. Nobody is making you keep it there.

I dont think my ability to manually go in every month and sell the T stock means it ok for them to be putting into T by default. 401ks are meant to be set up, select a fund and go on autopilot for 20 years. Maybe re-balancing occasionally.

I should be free to direct my contributions for their match just as I do for the money I put in, and as I've done with every other company I worked at.

if they want me to own T stock they should have a employee stock purchase plan with a worthwhile discount.

Don’t forget you can open a brokeragelink account and have 401k money directed to that portfolio. It allows you to purchase any security you may choose.

Eqp. Nobody with the financial chops to run a company with a $225 billion market cap would work for that money.

You can open BrokerageLink within your 401k and buy almost anything, except ATT stock. Reason is that Ran-doll gets to vote all the shares in the ATT Shares fund, so they had to find a way to keep you locked into it!

The amount of fully diluted shares is already 10 times too high. When was the last time AT&T issued new shares? Even if the share price was $150, AT&T would not be justified in issuing more stock. There are over 6 billion shares outstanding. The correct thing to do would be to fire Ranall, Stankey, and Donovan and replace them with new exec's who do not receive any stock grants or options and who's salaries are capped at $500,000/year. That way stock buybacks actually become effective for the company and not for the no good, good for nothing leeches at the top.

No but you CAN reallocate what funds you are invested in. You can dump you T matching stock into any of the other funds offered in our 401k.

Of course you can change your investment elections. Rebalance, dont keep all your money in T. Selections are limited. Hope you have an IRA on the side for better control.

If you don't like having your 401k matching investment in T stock, then move it. Nobody is making you keep it there.