MAJOR SUCKAGE: Pay cuts coming

[Markel]

Things are tough in the market. Right now some of the directors of my company are in Japan, working on some plans with our parent company. Later this month, a major restructuring is to be announced. Along with it, we will be told that there will be pay cuts for next year. :mad: At least this is in place of any further layoffs, but a 5% cut would just about erase the "raises" I have gotten for the past two years. We are supposed to get a (scaled down) year-end bonus this year (typically runs 5 to 10%).

[southernbelle]

..... but it beats not having a job. I hope they give us an option - or at the very least, don't change the severance. If you can hang on, these things do tend to balance out in the longer run - good luck!

[Markel]

One other thing I forgot to mention. They are going ahead to spend $5 million on a new ERP system. :ugh:

[Grimm]

This is why I am no longer anti-union. We need a tech workers union.

[OC]

You've only gotten 5% in 2 years?? Blech. That's doesn't even keep pace with inflation. I'd wait for the market picture to get better then bail.

-OC

[Markel]

Well, the notice came out today, and my guess was on the (diminishing) money. 5% cut for staff (7% for managers, 10% for executives). :thumbdown One thing that disappointed me was that the multipage letter from our president didn't say anything along the lines of "we will seek to make the cuts up as soon as our conditions improve." :mad:

[Kim]

Bummer! Sorry this happened.:(

[BrewMaster]

Sorry to hear it man. but many people are out of work, so consider yourself lucky. btw, what's an ERP system?

[Grimm]

At least they didn't make the worker bees take the biggest hit. Some companies would do the cut across the board at 7%. Or they would cut workers 10% and keep the exec salaries the same.

[Markel]

ERP = Enterprise Resource Planning - ours is being implemented by a company based in Finland (IFS).

I AM thankful to have a continuing job, and this company (being the US division of a Japanese company) has a history of showing loyalty toward employees, so I'm not in a big hurry to jump ship. (Grimm, if you're as old as dirt, maybe you understand more.) Once you get to a certain point, it can be hard to easily switch companies.

[dbax791]

Originally posted by Markel
ERP = Enterprise Resource Planning - ours is being implemented by a company based in Finland (IFS).

I AM thankful to have a continuing job, and this company (being the US division of a Japanese company) has a history of showing loyalty toward employees, so I'm not in a big hurry to jump ship. (Grimm, if you're as old as dirt, maybe you understand more.) Once you get to a certain point, it can be hard to easily switch companies.

Yeah, Got|Stock Options? (aka Handcuffs):rolleyes:

[Markel]

Originally posted by dbax791
Yeah, Got|Stock Options? (aka Handcuffs):rolleyes:
Nope. No stock options. No stock. Company is family-owned back in Japan.

Once you get to a certain point (job skills, salary level, current market, etc., as well as retirement considerations) jumbing between jobs loses much of it's attraction.

[dbax791]

Originally posted by Markel

Nope. No stock options. No stock. Company is family-owned back in Japan.

Once you get to a certain point (job skills, salary level, current market, etc., as well as retirement considerations) jumbing between jobs loses much of it's attraction.

Yeah, I hear ya. I'm in the same boat. My company's compensation plan/benefits really makes it hard to jump ship the longer you're with them. And if you like your job (which it sounds like we both do) there is absolutely no reason to leave. Yeah, you might get a 10K raise, but you might have to work longer hours and you may be giving up retirement vesting and other benefits.

I've got the stock options thing going which makes it basically impossible for me to leave my job. Another company would have to basically triple my salary for me to jump which ain't gonna happen. So looks like I'm stuck - not that it's a bad thing...

[Thunder]

sucks...

back in august...i was supposed to get a raise...but it never happened. a few months ago we had a big chunk of layoffs...no point in asking for a raise then. now...just recently found out the benefits package is going to cost more this upcoming year!...and we might not be getting our seasonal bonuses.

ugh...at least i still have the job...

[Markel]

Well, the year-end bonus this year was on the low end, but still ok - about the equivalent of an extra (semi-monthly) pay check. I've also done some inquiring, and the plan on the pay cuts is to evaluate the situation in June and, if warranted, to undo them at that time.