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Zebra did a 5% salary cut during the start of the pandemic while saving costs on the offices, forced a pto burn, hiring freeze, and then had to spend $500 mill
by monksy 4y ago
Zebra did a 5% salary cut during the start of the pandemic while saving costs on the offices, forced a pto burn, hiring freeze, and then had to spend $500 million to buy another company it wanted to buy.
These large companies are struggling.
- rsj_hn 4y agoIn what I guess is confusing to many, when a company buys another company, or even purchases capital equipment of some kind, it can finance that by a loan, and the result is that the asset side of the ledger doesn't take a hit. But when a company pays salary, it can't finance that with a loan, as expenditures on salary do cause the asset side to take a hit. This is the difference. I understand that to many people they seem like they are in the same category of "spending money" but spending money on an income earning investment is not the same as spending money on operating expenses.
- gautamdivgi 4y agoA lot of times this is to make dividend payments and to boost financial numbers by sucking up the operating profits of the acquired company.
- brutus1213 4y agoI had a run in with Zebra a few months back. I was impressed by that small interaction. I had no idea they operated this way! I spoke to people from the UK (seems they were from an AI related acquisition .. not sure what acquisition). They seem to have good infra and intelligent technical people.