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I listened to the entirety of the investor call and the GM CFO definitely does not call it a "free" workforce reduction. The stack ranking is primarily about r
by gamblor956 2y ago
I listened to the entirety of the investor call and the GM CFO definitely does not call it a "free" workforce reduction.
The stack ranking is primarily about rewarding high-performing employees with higher bonuses. It also puts a low-performing employee at risk of getting let go, but it doesn't magically absolve GM of its unemployment law obligations, because any layoff pursuant to this planned workforce reduction would be grouped together and at GM's size the 5% reduction would trigger WARN Act obligations long before they got to 5%.
Seriously guys: if stack ranking were a magical way to avoid the WARN Act or other unemployment laws every company would be claiming that layoffs were performance based. That no company tries to claim performance as the basis for avoiding severance should tell you something about how the law works...