For any new employee with a start date before 7/31 they now have a target start date of 10/5. Guess what the delay is due to??? Yes, Aero is saying it is due to the virus but we all know what it is really due to. Another opportunity to save money and say it is due to the virus. This is now the 3rd thing pulled by the ALT (what a joke they are) in the past 2.5 weeks. For sure the next announcement will be a RIF in May. I wonder what the 5th thing will be? While they are screwing the employees they also took another shot at squeezing our poor suppliers by trying to get a 30% price reduction. We can all sleep easy knowing that we are the ALT's number one asset.
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If you are an old employee that has a monthly defined pension at retirement. I would be extremely concerned that your pension will be converted into a lump sum. The long term cost is huge. I hope that the older employees have got their ducks in a row for retirement and can volunteer for the layoff when in comes. I don't see how it is not inevitable. Good luck guys.
Yes, expect the biometric penalty to increase this year also. HON will use the excuse that the COVID19 virus caused the increase.
Greed comes into play when the company chooses to use their labor force as a flexible line of credit when they have 10 billion in liquid cash available. Meanwhile engineers are still finding new jobs with other companies... i will jump at first chance. No viable work with honeywell and no leaders that i respect enough to follow. Cya.
The will implement the Cote playbook of wringing productivity by tricking employees to work for the same hours with 4-12% less pay. I expect the biometric penalty to go up to get more cash out of the older employees.
This applies to Defense and space which should not be affected too badly by the virus. Looks like a purely cost cutting measure to me.
The only thing I see that is a determent to revenue is that some sites make revenue per landing. If planes are not flying, they're not landing which means income is not coming in. I do believe the furlough (oh, um excuse me, Unpaid Vacations) were a premature reaction but the paid per landing thing is the only decrease in revenue I see. I don't think there is any need for it currently. Honeywell posts record billion dollar profits every year and they should take some of that profit to cover employees salaries right now instead of kicking us all in the gut. This company isn't interested in anything except the bottom line. "Our employees are our #1 asset" my a–! No one ever believed that line of bull so at least most of us weren't surprised when Honeywell made us bend over...
@1cir+14ojkNw8,
would you please be kind of enough to connect the dots between airline flight hours vs need for furlough and RIF of engineering staff.
Yes, reduced flight hours might reduce demand at the Repair and Overhaul shops... But from the last I Heard the R&O shops at Honeywell are WAY behind in turning repairs, as in more than six months behind. So that staff must still be working to generate revenue? is there another source of revenue derived from flight hours that would impact revenue. IE are we losing rental or lease income?
And while Boeing is temporarily suspending production of aircraft, I have not heard of contracts from any of the airframers being cancelled or delayed, I imagine the 737 grounding is already baked into revenue forecast. Since avionics are not a walk up and buy item, with very long lead time to order and take delivery. I do not see how the most recent down turn would produce that quick an impact to revenue and staffing? I believe the factory is deemed critical and they are running as normal? maybe I'm wrong that please correct if you know?
Since engineering is working on long term development contracts for next generation products and updates. I do not see how there is that quick an impact to those efforts unless there has been a loss or delay of those contracts?
I'm not trying to throw stones, but I would like to understand better the revenue stream(s) and impact to staffing.
I agree with 1qdc. Ultimately the goal is to not make anything and become a software company with recurring revenue streams where you don't have to do any work. Sounds simple right. No science projects. So Hon trying to turn current businesses into cash pile w/o people. Strip off all expenses.
Then DA can hire his buddies to figure out what to do with it.
RIF's will not be next...I would expect losing the 401K match and reduced vacation first with additional furloughs. Once that occurs then they will have the RIF's...they need to be able to say they did everything they could to prevent a RIF when in actuality they want to stick it to everyone first and then use the RIF. If they RIF first the optics look worse when they reduce everyone's benefits first and then layoff people....plus it work to Honeywell's favor.
10% round 1. There will be more. You can't run a commercial aerospace business with no customers. How long before all the grounded planes can be filled and flying again???
GE is reducing its Aerospace Engines division by 10%
I concur, there is a huge lack of demand and this virus isn’t going away anytime soon! Social distancing isn’t happening and the longer we can stop the spread the longer this will go on. Start date six months isn’t unreasonable- it is realistic!
So much for their goal of drawing new grads. They'll go elsewhere.
1cir...
I would like to agree with you. But judging layoff.com traffic, other aerospace companies are silent on layoffs with the exception of Boeing. I’m quite sure that will most likely change for reasons you mentioned. My beef is how Honeyhell is always chomping at the bit to stick it to their employees.
As cynical as I am and as distrusting of the ALT I am, I have to go on record and say that this is one of the most id–tic posts I've seen lately.
Is Aero going to have to cut costs? Absolutely. Commercial air traffic has virtually come to a halt. that means that nobody is buying new airplanes nobody is repairing airplanes and nobody is buying spare parts. The business revenue is going to tank. To think that we won't see things like layoffs and furloughs would be id–tic. It's being driven by the lack of demand, not greed. This time.
So we are still filling open positions but providing start dates 6 months away?