Ahhh... Finally! After 5+ years of shenanigans around annual reviews not motivating to employees, Jack Welch's "Vitality Curve" is back at GE Digital!!
Make no mistake folks, HR has told all managers that 10% of all employees will be rated "below expectations" and put on a performance plan - no merit, no bonus, no equity.
I'll fax you a copy of the memo they sent out on the topic. Or rather, call my pager and I'll find the nearest pay phone to call you back.
I worked for a company that hired previous GE executives and the GE (Hatchet Men) people completely gutted my company of all relevant talent using the Jack Welch "Rank and Yank" process not just once a year, but every quarter-
Every quarter they artificially created a bottom 15% of employees aside from the ones that were skilled enough to quit and land something new-
Jack Welch "Rank and Yank" does irreparable damage for it creates a hostile work environment pitting employee against employee, mistrust in the work environment, and the company acquires the award for being the King Of Layoffs and for job seekers to avoid even applying.
The GE executives that gutted my company received 7 figure golden parachutes to leave the company ONLY after they cannibalized the company and the damage done-
Due to these types of shenanigans and games corporate America has been playing with people, this is one of the reasons people have left the labor force altogether and aren't giving a second thought to returning-
"HR has told all managers that 10% of all employees will be rated "below expectations"
Absolutely not true. Source: Am a manager at GED.
Rankings are more formal now than previous years but no requirements were made regarding "below expectations" or pips.
It worked great for the company but it sucked for the employees (at every level). Be careful what you ask for.
I think GE people managers have had to quietly send in a ranking of their teams for at least several years. There was no formal rank-and-yank during those years. I have no idea about now. GE Digital will need to do some aggressive pruning in spots in the next year or two - is that what you are talking about?
Considering 30% of GED is bottom feeders based on the companies performance I think you need it every 5 years to purge. Annually is silly; but all businesses have a bad habit of accumulating tu-d projects and personnel.
Excellent. This is probably what is needed right now.
Rank and yank.