4 ms·
How come no severance? Despite of how you're being fired, you should be entitled to severance right?
by myworkinisgood 2y ago
How come no severance? Despite of how you're being fired, you should be entitled to severance right?
- persedes 2y agoin the US at least, I'd be surprised if you entitled to anything, especially in a "right to work" state. It's mostly goodwill.
- SR2Z 2y agoSeverance is a "we'll pay you to leave quietly" deal, not an entitlement. If the company plans to be continually laying people off (kind of a stupid idea because it makes your other employees nervous) they can find other ways to ensure silence from their victims.
- xkqd 2y ago> kind of a stupid idea because it makes your other employees nervous And in the medium and long term solidifies a self-serving culture rather than individuals working towards the group’s and firm’s success.
- Liquix 2y agoperhaps this 5% is employees who were documented underperforming, breaking rules, getting into conflicts, gaming at work, etc. ehe company has every right to let them go without severance. usually referred to as "regretted attrition" which is ironic in this case because GM doesn't regret them leaving in the slightest.
- xkqd 2y agoAnd in my experience you run out of those individuals rather quickly and start cutting well-intended employees after only a few years. After that, you start firing hard working individuals who can’t or won’t play the game. After that, you’re selecting for corporate psychopaths.
- consteval 2y agoPitting your employees in a hunger games-esque charade is sure to have unintended consequences. Surely, if I was an employee here, self-preservation would be of the utmost importance. If I fix something to make my job easier, I will keep it to myself. If I have the opportunity to sabotage a teammate, I would. If I can lie easily, I will.
- wnolens 2y agoThere is no entitlement in any country/state/province I've ever worked. You can quit at any time and your employer can fire you at any time - no reason needed either way https://www.ncsl.org/labor-and-employment/at-will-employment-overview https://www.ncsl.org/labor-and-employment/at-will-employment...
- PeterStuer 2y agoWhich is exactly why they will try to bully you into quitting rather than fire you in jurisdictions with strong firing compensation/protection regulation.
- wcunning 2y agoThey have a new performance rating system that says that 5% of every team should be ranked as "needs improvement" meaning an automatic PIP. When MSFT did this in the 2000's, it was a requirement to fire that group. Firings for performance do not entitle an employee to severance, but official "layoffs" generally do outside of bankruptcy. Net cost of this move is hidden in employees spending time updating resumes and doing job interviews, not in direct bottom line dollars from actually paying out severance.
- mrgoldenbrown 2y agoThe other hidden cost is the paranoia and backstabbing that is encouraged when someone in every team has to be fired even if everyone did objectively excellent work.
- throwaway7ahgb 2y agoParanoia and backstabbing happens everywhere. What happens if stack rank->pip is too obvious is that people and teams will not cooperate with newer fresh meat. They're incentivized to keep knowledge protected for their job. New people struggle to get above the pip mark and it becomes a revolving door.
- gamblor956 2y agoFirings for performance do not entitle an employee to severance, This keeps getting repeated on this thread but its not true. U.S. WARN laws require severance or 60 days notice for mass layoffs (which would definitely include 5% of a company as large as GM). Only terminations for cause are exempted, and performance is only grounds for cause in a very small handful of "right to work" states.
- mystified5016 2y agoThe point is that this move isn't a mass layoff. It's not a layoff at all, it's firing "under-performing" employees. QED no entitlement.