Thread regarding Wells Fargo & Co. layoffs

Wells Fargo: A Case Study in Psychological Danger, Not Safety

Amy Edmondson’s groundbreaking concept of psychological safety—the belief that a team is safe for interpersonal risk-taking—feels like a distant dream at Wells Fargo. Instead, the toxic workplace culture described by its employees represents the antithesis of Edmondson’s principles. Rather than fostering trust, innovation, and collaboration, Wells Fargo seems to have created a system driven by fear, exclusion, and arbitrary judgment.

Here’s how Edmondson’s framework contrasts with the reality employees report at Wells Fargo:

  1. Fear and Silence vs. Trust and Open Dialogue

In psychologically safe workplaces, employees feel empowered to voice concerns or challenge decisions without fear of punishment. At Wells Fargo, fear dominates. Employees report that speaking up risks retaliation or poor performance reviews:

"The execs only look at ratings as tools to motivate people to leave. They fight to lower ratings, even for high performers."

This culture stifles innovation and collaboration, replacing open dialogue with silence born out of self-preservation. Trust is nonexistent, and employees are left to fend for themselves.

  1. Learning vs. Blame

Edmondson’s framework emphasizes learning from mistakes as opportunities for growth. At Wells Fargo, mistakes—or even perceived shortcomings—are we-ponized:

“Managers rate you not based on actual performance but on whether they like you or want to push you out.”

This blame-oriented system discourages risk-taking and creativity. Employees are paralyzed by fear, unwilling to step outside their comfort zones or propose new ideas.

  1. Inclusion vs. Exclusion

Psychological safety thrives in environments where everyone feels valued and respected. At Wells Fargo, favoritism and internal politics appear to be rampant:

“Only those who honor their bully get ahead.”
“They want you gone so they can replace you with cheaper offshore labor.”

Such exclusionary practices divide teams and alienate individuals, fostering resentment and mistrust instead of teamwork.

  1. Motivation and Growth vs. Demoralization and Stagnation

Employees who feel psychologically safe are more motivated and productive. At Wells Fargo, employees report the opposite—demoralization caused by arbitrary ratings and lack of recognition:

“I delivered on a major initiative, sacrificing my health, and still got ‘Meets.’ I give up.”

This learned helplessness erodes motivation and creates a toxic environment where employees stop striving because their efforts are consistently ignored or dismissed.

Key Takeaway: A Culture of Psychological Danger
Instead of psychological safety, Wells Fargo has cultivated psychological danger. Employees describe a workplace rife with fear, blame, exclusion, and inequity. These conditions are not just bad for morale—they actively harm the organization by driving away talent, stifling innovation, and undermining productivity.

For Wells Fargo to repair its broken culture, it must embrace Edmondson’s principles of psychological safety:

Create a Fear-Free Feedback System: Eliminate punitive performance reviews and replace them with transparent, constructive feedback processes.
Value Employees as People, Not Metrics: Acknowledge achievements sincerely and evaluate employees fairly.
Build Trust Across All Levels: Train managers to lead with empathy, fairness, and inclusivity.
Encourage Learning and Growth: Stop the blame game and foster an environment where mistakes lead to growth, not punishment.
Without these changes, Wells Fargo will remain a case study in how toxic workplace cultures destroy employee trust and organizational effectiveness. Edmondson’s principles are not just ideals—they are essential for any company that values its people and its future.

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Post ID: @OP+1jjfkd0y6

21 replies (most recent on top)

@dq One of my former WF peers said he was feeling resistance from our manager so he asked her "Do you want me to stop asking questions", and she replied "yes". Just outrageous that the top down leadership claims they want us to identify and mitigate risks, but the front-line managers don't want us to ask questions or raise risk.

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Post ID: @146h+1jjfkd0y6

@ab 100% agree. It's definitely not a "raise your hand" type of culture. In spite of the policies put in place for Issue Management - to raise your hand is a huge risk.

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Post ID: @146g+1jjfkd0y6

@jv 100% truth. Had a manager tell our team this, and I have the documents reflecting the bell curve requirement.

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Post ID: @146f+1jjfkd0y6

Thank you all for proving my point: the ethical abuse from the "fake account scandal" has shifted from clients to employees. The "raise your hand" initiative exemplifies this. Instead of pushing us to bully clients into opening new accounts, management redirected this pressure to having employees at all levels bully each other. This is a main reason why "going agile" failed/fails at this bank.
@a7+1jjfkd0y6, you mentioned "the environment put me in that mindset." As a laid-off former employee, I too found the need to address this "learned behavior" instilled by the toxic culture at this bank. We must be aware of the "bully manager" and the importance of "psychological safety" at all levels.

I apologize for using AI to edit this post to protect my identity. And yes, while this could be said about many large organizations, that certainly doesn't make it right.

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Post ID: @nc+1jjfkd0y6

This article summarizes exactly my experience. I just received my first Inconsistently Meets, coupled with documented gaslighting by my two up. There is no real reason for this other than a curve.

Yes managers must have a minimum number of employees with an inconsistently meets rating.

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Post ID: @jv+1jjfkd0y6

So wait! Are you all saying that Wells doesn’t walk the talk about culture and personal and career growth? You mean it’s all a lie? That I have to attach lips to a behind? I am d-mbfounded, nay deflated. And here I thought I was part of an organization that wanted to grow me both professionally and, and financially. Make me a better worker , take chances , learn from my failures, be picked up by my teammates. Now you all are saying that is all a dream? Darn.

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Post ID: @j1+1jjfkd0y6

@dq+1jjfkd0y6

I love that. Raise your hand should’ve never been a thing. Can’t stand whistleblowers. They literally su-k the fun out of everything.

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Post ID: @ey+1jjfkd0y6

My old boss used say jokingly, "Put that hand down."
He was right.

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Post ID: @dq+1jjfkd0y6

@an+1jjfkd0y6

The Raise Your Hand effort was a good strategy in theory from 7-10 years back. Any employee who saw a potential wrongdoing or compliance issue was encouraged to bring it to their manager’s attention, and then employees were recognized for their “Catches” under certain circumstances. Needless to say…..it quietly went away.

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Post ID: @df+1jjfkd0y6

the crazy guy blasting fake upvotes on some inane AI-generated pandering lol

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Post ID: @as+1jjfkd0y6

But if you "raise your hand" at Wells Fargo, you will be red-flagged and labeled as a trouble maker, thus increasing the chance of your layoff. You will be extremely naive to believe anything the management tells you. Remember, we don't have the employer-employee contract protections, we are all hired "at will" and they can lay off or fire employees "at will". Even the executives and managers commit crimes (like fake accounts), they still skip prison time (remember Carrie T?). There is no win situation for us as long as we work here. This happened to be the most corrupt bank in the financial industry history.

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Post ID: @ar+1jjfkd0y6

@a3 or anybody. What was the 'Raise Your Hand' internal effort? What were employees/managers supposed to raise their hand about?

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Post ID: @an+1jjfkd0y6

Sadly, you are describing working at any large company in America. There's no "contract" between employees and workers beyond "you'll get a check and when we are done with you, it's over." The best way to be is to not get too invested in your work. Certainly don't pass up birthdays, school events, holidays, or other life events to give that time to work. The trade-off isn't worth it.

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Post ID: @ag+1jjfkd0y6

Stop posting this AI slop

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Post ID: @ac+1jjfkd0y6

I usually don't like to read a long post, so I did not pay much attention to this post. But now I've read it, I think this is happening all over Wells Fargo. This company has thousands of bad managers and bad executives who are creating a highly toxic environment.

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Post ID: @ab+1jjfkd0y6

This perfectly describes today's COO environment.

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Post ID: @aa+1jjfkd0y6

@a3+1jjfkd0y6, I don't see much improvement since Charlie came here. In fact, things got a lot worse lately. Why are you trying to defend Charlie? Who are you?

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Post ID: @a9+1jjfkd0y6

Thank you. I realize this is circa 2016 but it applies today as well, just with different people in the front row. I was happy to read this because I was beating myself over a situation yesterday and now realize it was this environment that put me in that mindset. I can always evolve and change tack and maybe that will help change things in the long run but there is no sense in beating myself (ourselves if this applies to you) up over a structure that is maintained and exploited by so-called leaders.

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Post ID: @a7+1jjfkd0y6

Could have been written by AI about any large company.

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Post ID: @a6+1jjfkd0y6

First- Link to the above article, showing who created it? Feels a bit invented.

Second- Amy Edmondson’s comments on Wells Fargo were in reference to the era of fake accounts, etc. PRIOR TO Charlie's arrival at the company. PRIOR to internal efforts such as 'Raise Your Hand'.

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Post ID: @a3+1jjfkd0y6

Ok

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Post ID: @a2+1jjfkd0y6

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