Thread regarding Saudi Aramco layoffs

Aramco ignoring American labor law - AGAIN

In 2020, Congress passed the CARES Act allowing Americans effected by the pandemic to borrow $100K against their own 401K. Aramco declined to participate – screwing the thousands of Americans they laid off in June 2020 through year–end.

In 2021, Congress passed the American Rescue Plan Act, providing EVERY American on COBRA free coverage for 6 months. Well, it's been almost 2 months since Congress passed this and Aramco's management still have this under consideration. What is there to think about? It's obvious that Aramco plans on further screwing their ex–employees.

Every American in Saudi needs to take a loan from their bank as an insurance policy against Aramco's managerial decisions. Don't pay the loans back if laid off – you'll need that money to pay for the obligations Aramco owes to you under US law.

Also, each ex–American Aramcon needs to contact their Congressman to let them know how Americans are treated. The USA needs to start pulling back on their arms agreements. Maybe after Saudi becomes a colony of Yemen, the Aramco management will pull their heads from their backsides.

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| 3669 views | | 11 replies (last )
Post ID: @OP+1as626m4

11 replies (most recent on top)

Why didn't you take your money when you left? Roll it over to an IRA with one of the brokerage firms?

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Post ID: @huqy+1as626m4

I am giving advice on taking the 401K loan? Hardly. I simply pointed out that the US government passed the CARES Act which allows Americans, affected by the COVID pandemic, the opportunity to take the loan IF THEY NEED IT. Aramco decided for its ex–employees not to extend them the opportunity. And now Aramco is dragging its feet on deciding on implementing the American Rescue Plan. I am sincerely happy that you and your laid off friends were not effected by Aramco's inability to follow US law. However, the timing of my layoff made these items a significant impact on my situation. I am sure others are in the same situation. While you may feel comfortable with Aramco screwing your fellow ex–Aramcons and friends, I am not.

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Post ID: @7jkz+1as626m4

Also, US expats that were laid off last June were provided insurance until the end of the year. So, if you applied for COBRA, then you would have paid $2,500 per family/month (of 5 to 6) which was not needed.

Regarding your comment on management of Saudi not making decision, we already know that the management here is slow, there should not be any surprise. Really Incompetent. That I agree.

A few people I know got 2 months of salary plus the government separation (value x years service) amount when they got laid off. One I heard saying a story about choices that when you are bitten by a snake, there are two courses of actions: a) chase the snake/revenge or b) get healed. Two people I know, who got laid off and were prepared and actively looked for jobs, got jobs three months later. They sought to be healed. That’s actually a win because they got the money by being laid off, got back to the US, and are now feeling positive.

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Post ID: @7bcw+1as626m4

If you read your comment, itsounds like you are the one giving an advice to the people that have been laid off by asking them to borrow money from their 401k by recommending what you just said because of CARES act.

I just think your advice is flawed. The best way, whether you are employed by Aramco or not, is to make sure, as you said have an emergency fund and investments that make you financially free (not borrow from 401k). Doing so allows you to choose your own path.

I left on my own terms because I could. There is no need to debase an employer although it is true that Saudi Aramco’s management, from bottom to top, is substandard in so many aspects. Couple this with tribal leadership, it brings the worse kinds of behavior, and we expats have had to deal with it.

I don’t mean to argue with you, but your comment ignites thoughts and actions that may lead some expats who are not as finically educated to take that course of action which won’t bode well for them.

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Post ID: @7jvk+1as626m4

Saudi Arabia is not subject to any U.S. laws. Saudi Aramco is a State–owned oil company. Only ignorant expats would think otherwise.

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Post ID: @7wno+1as626m4

Saudi Arabia is not subject to U.S. law. Don’t be du–b.

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Post ID: @6ycw+1as626m4

Are you really trying to give me financial advice? Based on what? While your "advice" is sound on the surface (and very generic) but you know nothing about my investment strategy or my finances. Basically you are giving Aramco a pass on not Implementing US law because it is not beneficial to YOU. BTW, I do have an emergency fund of 18 months, a paid off house, no debt and a net worth of over 7 figures. While all this was due to working for Aramco, face it, they had this package in place in order to get qualified people to move to Saudi and work for them. Saudi is a hardship location so they had to up their benefits to attract talent. And because I benefited from their offer, does that now mean they shoud have a pass on obeying US law? If you want the best employes, you have to pay the price and follow their labor laws.

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Post ID: @5qyg+1as626m4

I think it is a really bad idea to borrow money from your 401k. You should have, through the years been saving money that in events like this, you have emergency savings. Just because the US implements CARES act does not mean you have to take it.

Aramco is no longer the company it used to be. Every benefit that favored expats previously is being chipped away given its publicly traded status now. These perks will continue to degrade as the upstream industry faces a lot of headwinds from a more tapered demand to a global desire to go more green.

Aramco is also not proactive. It is reactive! The only time it acts on something is if it’s already been through the pain. But when things are going well, it’s very hard for the company to change because of bureaucracy, siloed management, tribalism, and ineffective management.

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Post ID: @5anz+1as626m4

Which oil companies?
Why do you have faith in Aramco to do the right thing? They will simply do the Saudi thing and drag their feet, or decide US law doesn't apply to them.
They decided not to participate in the CARES Act so why should they act any differently in the future? Why does it take almost 2 months to simply follow the law?

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Post ID: @2qli+1as626m4

Chill, I asked a couple of friends who work for other oil companies, their employers haven't implemented this yet.

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Post ID: @1mzu+1as626m4

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