How many people did Broadcom get rid of after they bought CA? We're hearing crazy numbers being thrown around, it'd be nice to get some info from somebody who knows what he or she is talking about. Too many people like to use situations like this to scare others for no good reason.
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BC stated at the time of purchase that they wanted to reduce operating costs from 2.1 Billion to 900 million (almost 60%). Not hard to figure how that gets done. CA let 8% go about 6 weeks before the acquisition to clean up the balance sheet. That lay off was HEAVILY focused on people in the 50+ age bracket to the point they were really worried about law suits. Then 40 to 50% of the remaining went in the first year followed done in sets. Then 10% and 10% in each of the two years after. Now, 4 years later there's about 20% or less of CA left. Started at 10,500, now around 2,000 and every system and process was replaced.
To answer your question specially, at time of sale, CA had about 12,000 employees. 5,000 or so we’re cut immediately (on Day 1 via email). 2,000 were cut after a transition period and received transition bonuses. 2,000 or so quit because they hated it within the first 2 years post close. 3,000 or so remain today and shrinking. These numbers are directionally accurate and may be off by a few percentage points. If anyone disagrees, please correct me.
The thing that might be interesting with VMWare is WFH. CA had really pushed to get rid of WFH in its last few years, so the culture shock was not that great. I've heard VMWare is heavy WFH, so if you survive you can kiss that good bye. It is in the office five days a week, 52 weeks a year(barring that "unlimited vacation" time). You can WFH every once and a while, but the reason has to be documented to your manager. They run badge scan weekly and look to punish those who do not obey. For being a supposedly lean operation they do spend a lot of money on an almost Orwellian amount of surveillance.
After the acquisition of CA I was on the stay list, but they got rid of me after just under three years as they moved the role to Malaysia.
My base pay was never increased at any point, but I did manage to get two yearly bonuses (which was pretty decent) and cash out all of my RSU's that were available to me at the time of redundancy.
I was pretty lucky as my term at CA was carried over, so I had a 24 year redundancy package that was capped at 20 years and they were generous with the redundancy pay-out.
But has said on the previous message there are no frills what so ever at Broadcom and your working environment will be soulless.
Broadcom will strip VMware bare.
As already said by other people:
Anyone in middle management will be cut, they run a very tight ship with no overhead.
I was one of them and after years i can say, thx octane for the money you gave me.
Thanks "The CA experience" @hyg - it's very useful
So, first thing to understand is the Broadcom mantra: "We're in the business of making money."
Everything, and I mean everything, comes second to that. All that Hok is doing is done to raise the stock price.
In the end, it will probably around 70% of the workforce being let go. This comes in several stages and it depends on your position / department which bucket you fall into.
Post acquisition there are 3 buckets:
- redundancy, transition (redundancy within 1 to 6 months) or stay
Anyone in Marketing, Training, Communication, Administrator or HR (or any other support function) will be let go immediately. Finance and Legal will mostly follow.
Sales will be given new sales targets / commission structure that will make them quit by themselves.
Dev and support will stay on at first but weeded out as well. Anyone in middle management will be cut, they run a very tight ship with no overhead.
Decisions on who stays or goes are final and made by consultants working for BC. If a deal is announced, these plans will already be more or less finalized.
Broadcom is a no frills company with a very flat hierarchy. You get paid well, get stock options and a bonus, but nothing else. There is no culture, no personal development and they do not care about any of the touchy - feely stuff.
Everything will be wound down to the bare minimum, including office space (have fun sitting back to back like 1980's IBM), software and tools being used etc. No fuel cards, company cars or anything like that. Office lunch? Sure if you want to pay for it.
You can make good money if you are lucky and get to stay for a few years, but this is the exception, not the norm.
BC will pay you to do what you are doing now until they no longer need you, and you will be fired without a second thought.
First, take emotion out of the equation and realize that Broadcom's purpose is to increase its stock price as much as possible AND run a company as lean as possible with using only as many employees as needed to keep the lights on. They already have the usual staff from legal, HR, tech support, marketing, etc, so these roles will be gone. Employees are the biggest expense and this company is CHEAP!
If you have been there for a long time then you might get a large severance package (unless you're support staff who usually gets outsourced to HCL) and possibly a transition bonus. But...it's a great job market so you might not even want to wait. Start looking immediately.
If your core engineering, then prob be ok if you are a solid senior or higher developer. These senior and principal developers will get like $200k/year just in RSUs. Your salary will not change so if you think you're underpaid now just go somewhere else for a better salary.
Within 6-12 months, they will get rid of almost 70% of your company. Those who survive will get nice RSU packages, but you probably won't see all the money. It really depends how much money your company (and your role) makes them. Get used to google instead of outlook and self-service IT for any hardware issue you have. They also hate work from home so get used to coming into an office every day.
Another important thing is to not trust ANY executive or managers and leaders. They will be trying to save themselves and believe me, they will know very soon who Broadcom will eventually terminate. Don't believe anything they tell you when they put on a fake smile. Directors and above make a ki----g in RSUs (probably double/triple the senior developers). They will throw crumbs at everyone else.
After they gut your company and a bunch of people quit, they will eventually backfill some roles and these outsiders will be making a lot more in salary and RSUs than any of you right now. Many of us from a previous acquisition who were d-mb enough to still stay are seeing new people come in that make at least 30% more in salary. The only response from leadership about the $ differences is love it or leave.