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>Severance pay: We will start with a baseline for all employees, with the average employee receiving approximately five months of severance. This will be calcul
by htrp 3y ago
>Severance pay: We will start with a baseline for all employees, with the average employee receiving approximately five months of severance. This will be calculated based on local notice period requirements and employee tenure.
Is this a super vague way of saying we're letting go of the senior people with tenure first. The average severance being five months implies that most people being let go probably aren't the people hired during 2020 and 21.
On a separate note, we can add bandmates to the insane titles that a company uses for their employees.
- andsoitis 3y ago> Is this a super vague way of saying we're letting go of the senior people with tenure first. The average severance being five months implies that most people being let go probably aren't the people hired during 2020 and 21. No, they're saying that severance is based on tenure (and local notice period requirements). On average, people laid off get 5 months worth of severance - some more, some less, based on tenure.
- Scarblac 3y agoLabour laws will apply, they probably can't just pick who they lay off. Maybe they have to let go the same proportion of people at all levels of seniority.
- eythian 3y agoYeah, where I live (NL), it's required to be something like "group people into roles, then let people go in reverse order of seniority (i.e. LIFO) within those roles."
- zucked 3y agoThis is refreshingly pragmatic. I guess I shouldn't expect anything less from that part of the world.
- lotsofpulp 3y agoIsn’t last in first out ageist?
- eric-hu 3y agoLIFO sounds like it’s based on hitting order, not worker’s age.
- lotsofpulp 3y agoSurely, a law would not be needed to tell a business to terminate based on hitting order.
- t0mas88 3y agoIt's slightly more complicated in NL than just last in first out, for larger amounts like Spotify is doing here. Apart from grouping by role, there is also a requirement to ensure the distribution of workers across age groups remains as similar as possible after the reduction compared to before. Age groups in this case are 10-year buckets, 15-25, 25-35 etc. So if a role has for example 40% of the workers in 25-35, 20% in 35-45, 20% in 45-55 and 20% in 55+ then after the reduction it still has to be as close as possible to that distribution. So it's not like all of the younger workers that are "last in" in their early 20s would be fired, it would be similar numbers across each age group, within each group it's the last hired.
- amoss 3y agoIt's the same approach in Sweden.
- chrisandchris 3y agoSome countries have longer notice periods. If you would work for Spotify in Switzerland, after 2 years you have 2 months notice. Given the period must starts with a new month (by law), your notice would start on 1st January. Adter 10 years its 3 months, where 5 months severance pay (as i understand it) would "only" cover at least 2 additional months.
- BossingAround 3y agoI don't understand how you got from the quote to "senior people are let go first".
- dcminter 3y agoI think they may have misunderstood the meaning of the word tenure (note "with tenure") and not realised it meant only duration of employment here (versus its use in US academia).
- greycol 3y agoThere's also some weight in the word senior as that can also be referring to someone who's moved up within paybands within the same jobtitle as well as the (now less certain) expectation that someone who continues to work at the same place will get promotions to more senior positions as they show they're capable of them.
- pyrophane 3y agoI was surprised that the "average" is 5. It makes me wonder what that distribution looks like.
- yieldcrv 3y agoas always, this means US people are cut immediately while acting like a progressive employer but not sharing any of the values of their European homeland when they dont have to
- joegahona 3y ago“Bandmates” is bad, and dishonest. It’s like Pfizer calling every employee “doctors.” Stolen valor.