Thread regarding Wells Fargo & Co. layoffs

Details on IT cuts

Internally, the plan is being called "IT Hygiene".

Includes condensing existing groups, with people physically located in the same offices. Some people will be removed from existing teams and placed into different teams, more by virtue of physical location than by skill set. Managers who have groups "condensed" out from under them will either be let go, or may be able to continue in some role as "individual contributors".

Some groups are said to be impossible to condense, due to specialized skill sets plus geographic dispersion. These will be handled on a case-by-case basis for high-value existing employees, but no NEW cases will be allowed (hiring freeze outside of Hub Locations).

As of today 80% to 85% of the people are already concentrated in the Hub Locations, and this ("Round 1") will not affect them. It is said that 10% to 15% of the people will be "impacted" initially.

The way I read that is, "If you're currently located at one of the Hub Locations, you're safe for now. But if you're part of the 15% of the workforce that is NOT in one of the Hub Locations, you're going to get hit".

The above pertains just to IT, which is a small subset of the company. The desired total headcount reduction of 26,000 people is the ultimate goal, so things will get rocky for more people if management perception is that progress is "off track". The unspoken desire is for people to voluntarily leave, but if the total number of telecommuters who get axed PLUS the number of people who voluntarily leave does not add up to the desired 26,000 goal, then people in the hub locations will be targeted in a subsequent round of layoffs.

Discussions are still underway if a "Relo Package" will be offered, or if an "Exit Package" will be offered. Reading between the lines and watching body language, I suspect (but do not know) that the "package" is going to be something like, "Here's $20k to move you and your family from sunny Florida to frigid Minnesota, with no guarantees of future employment, and failure to accept this package constitutes voluntarily resignation".

A "Round 2" could include offering those who meet "the rule of 80" (age plus years of service adding up to at least 80) an exit package if voluntary resignations are thought to be "off track".

No information on a "Round 3", other than it depends on what the numbers are about 30 months from now.

This had to be on top. Posted by @Zh6WZ25-clk.

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| 2568 views | | 7 replies (last June 5, 2019) | Reply
Post ID: @OP+ZiTRgIH

7 replies (most recent on top)

Regarding software development, the management, the organization, process, it really has devolved into some kind of a sick joke. Pick any facet, they all look the same. New work blatantly going to clueless offshore 'engineers' while more than qualified onshore folks twiddle their thumbs, boxed into marginalized SME roles which have no real skin in the game as far as a finished product goes. Totally demoralized with this place, and witnessing another example of money trumping humanity. Time to leave...

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Post ID: @7bsc+ZiTRgIH

At the IT side, I’ve been in meetings where I’ve seen PPT slides that showed resource planning. The emphasis was on increasing full time personnel in India and Philippines, get as much as possible only contractors in the USA, and you get the picture in terms of what will happen to full time USA workers. Words like “dynamic talent” were mentioned as far as hiring goes in these other countries. The implication obviously is that if you’ve been in the company a long time, especially those non-productive managers with graying hair, start considering other opportunities outside of WF.

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Post ID: @7gni+ZiTRgIH

I am a telecommuter without an actual desk. I do a death share with another person. Does this mean that I am at risk of layoff? I’m finding it hard to believe that they are going to spend money to find me a desk.

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Post ID: @2hik+ZiTRgIH

It will all be over by the end of the year. Then they’ll announce the new ceo. She’ll start with a clean slate. That’s how this works.

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Post ID: @hzx+ZiTRgIH

Where was this heard, sounds very legit, but I'm in IT and have not heard a thing about this. Does anyone know when the first round starts, which really is the second round because the first IT layoffs were in November?

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Post ID: @nyn+ZiTRgIH

The company is too big to manage not because there are redundancies in people but too many lines of businesses. If they are broken up then people can work in the new companies and bring in their own efficiencies.

IT reorgs have been going on for the last 10 years since the Wachovia merger and now it's even worse because of the need to cut costs across the company.

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Post ID: @yjd+ZiTRgIH

If they are laying off IT staff because there is bloat why is there still technical debt?

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Post ID: @zbv+ZiTRgIH

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