As leadership tells you how they must squeeze employees through these difficult times, keep in mind they are sitting on over $9 billion in cash reserves.
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The cash reserves are for stock buybacks and ensuring executives get their hundred thousand dollar bonuses in challenging times like this.
@1tgj, your scenario is faulty. It’s not how long $9B would support the entire company with no other revenue, it’s how much of that $9B could be used to avoid or reduce furloughs and layoffs without putting the company in financial distress. Then compare that to the level of distress the furloughs and layoffs will actually cause individual workers.
When investors buy stock, there is an inherent risk. They can make money, or lose money. That risk should not be transferred to the employees, a full-time permanent job in a large, very successful multinational corporation should not be a risky proposition.
Considering the 401k match is going to disappear because of the authoritarian shutdowns you might as well shore up savings by reducing your 401k contribution to zero before RIF’s come:
How much does it take? Read the SEC filings.
Honeywell spent $29B in 2019.. the bulk of that is in Cost of Products sold ... of which a huge component is manufacturing labor.
Another way to look at it is what payment would be rendered to every employee if the $9B reserve was divided up–> $69K USD. or $34/hour.
So – $9B would do about a year of salary and benefits at most.. then bankruptcy proceedings.
Bottom line – If you think this is going to last then you must conclude Honeywell will RIF.
just public information. This isn't 9/11.
Honestly I believe the lists have already been prepared.
9B today plus another 5billion requested. They didn't take the govt stimulus because it would require them to not have layoffs and that's just not how HON operates. First you furlough,then you have layoffs, then you start stripping away benefits like pensions and 401k matches then you can roll salaries back. Rich get richer and we all pay for it.
I wonder how much it takes to keep the company afloat each month
It is so insulting to get the constant emails of how great they are doing and then thinking about your upcoming furlough.