Good luck folks, BNY is dead. Cutting costs is only way to help bottom line. Every other bank has left custody business so it is now a government job without a pension.
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“vestiture” ?
BONY pension was underfunded. Mellon pension was overfunded. The Mellon pension plan was never frozen. BNYM combined the plans and then froze the combined plan. The vast majority of BNYM employees received a 2008 Christmas Eve email notification that they were thrown out of the plan and given a greatly reduced simple interest cash plan. That plan was cut repeatedly over the following 4 years and then frozen.
@emha, miniscule??? Mine is worth over $80k and I wasn't even included in the better plan because I missed the 5 year vestiture by 60 days. And the annuity is better than anything I can get so I'll likely take that instead of the lump sum.
Mellon pension was frozen in 2008. To their credit, the conservative bank overfunded it and your miniscule pension will be paid out, albeit way less than inflation. The pension is up a ton since its been closed yet your cost of living yearly boost is basically nothing. Only reason BNY will be bought is their overfunded pension (free asset after giving pension holders undermarket returns) and govt subsidized custodial business.
As I first said, BNY is f00ked.
I have the legacy pension benefit. It was frozen, of course, but is still there.
So to say 'no pension" is, for a large number of employees, not true.
Cost cutting is actually smart. The problem is, their idea of cost cutting is getting rid of the employees who were leading the efforts to increase efficiencies. So BK is actually cutting investment and stagnating future cost savings. And by future I'm talking about the next few quarters, not years from now. There are MANY enhancements that I was trying to push through that would start saving money immediately and pay off in a matter of months, not years. PLUS they would CONTINUE to keep paying us month after month. But instead, "management" just tries to hire lower cost individuals to do the same bloated processes. I guess those enhancements weren't as se-y as using AI or machine learning to automate the bloated processes though.
In a nutshell, yeah.
Every other bank? Tell that to State Street. And Citi. And Northern. And JPM…