Last month when the CEO of Freddie Mac resigned, folks on here said it was because the Democratic government is not open to letting the GSEs out of the conservatorship, and there was not going to be a big payday.
Now, with mass layoffs at Fannie Mae, there’s talk of exiting conservatorship and increasing payouts to top management.
What is really going on?
Fannie exec's made some great decisions work from home, flex schedules, etc in 2020. Why are they making some bad decisions now by stabbing employees with no pay rises. 2% 401k cut, etc. Pressure from bone heads from FHFA. Some heads going to roll for sure after Biden transition..
HAHA WSJ just reported in headline that Trump admiration will not allow GSE get out of conservatorship before he steps down, which means whatever the bad decisions taken by management (pay freeze, 2% 401k contributions) will be in vain.
Freddie's CEO resigned last month - I guess he might know it in advance. Let me predict over here: By June 2021, Fannie's CEO will quit as well.
SF seems to be the most bloated and top heavy.
Massive layoffs at Fannemae? Can you clarify when, how many and groups impacted?
There was a supreme court case this past week that won't be settled until June but the Judges signaled that the current FHFA head wouldn't be able to be replaced without cause. So the new administration might not be able to come in and just install a new director. Also, news reports have the FHFA working on a plan with the Treasury to get out of conservatorship before the new administration takes over.