I'm thinking that many new hires will leave by the boat load since there would "most likely" be NO salary increase or bonus (even during these high inflationary times). The old timers are used to low pay, every other year no salary and/or bonus, putting in extra hours without pay (in USA), weekend rotations, etc. But the new young hires are just going to be shocked at the culture within Nokia and start to leave. Unemployment in USA is still low, so they shouldn't have a tough time finding another job. If you have the skills, the educational degree, and some talent, do yourself a favor and start looking for job externally. Even if you're on visa, look for another sponsor/job with a stable future. Please, I'm begging you. Else you will regret it later in life. Go somewhere where you talent and skills will grow, and you can move up the ladder and at the same time, your bank account will grow as well. If you stay without a salary/bonus increase, you will actually be deflating your income/wages as interest rates continue to stay higher for longer. Inflation is currently around 5%, so anything less then that for salary/bonus increase in your current or future job means wage deflation.
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I got my 1% yaaaaaa
When ALU got swallowed up by NOK I knew the end was near, but I still had the pension and was at 75 points. So, I got out and got a new job for a lot more money at another company as a full-time telecommuter. Now it's not a bunch of roses here but, no mandatory weekends on call. No tiny raises and one-off bonuses. Plus, the management in Finland was very dismissive of all the US engineers. High-cost region, high-cost region!!! When asked at a town meeting at Murray Hill in front of what was left of Bell Labs what was the key advantage Nokia had, instead of talking about the talent of the workforce, etc, they said it was their processes and procedures. That says it all.
People don’t work at Nokia for the compensation. They work at Nokia because no other company will hire them. Prove me wrong.
Without salary increase nor bonus, young people won’t join Nokia, only desperate one, senior engineers might look for better jobs. So how this company is going to innovate without new talents or not being able to keep already employed one, in same time ki-ling 20-30% of workforce?
And don't forget the foreign tax on those RSU shares since Nokia is an international company.
correction: 2/1/2024 RSUs become vested.
When RSUs vest, it becomes a tax liability for you. If you hold onto your vested shares and if the share price decrease, you're actually losing money out of your own pocket.
For example: If you get 100 RSUs on 7/1/2023, and on 2/1/2023 they become vested and the share price on 2/1/2024 is $40. That means in 2024, you have to pay taxes on 100$40=$4000. If your income tax bracket is 30%, you would have to pay 30%$4000=$1200 in taxes. Once you paid the taxes, let's say, you hold onto those shares and the share price goes from $40 to $5 (for example: on 4/1/2025) then your shares are now worth $5*100shares=$500. Now, if you decide to sell cause you know it's probably going to take 20 years (or a miracle) before you even see the share price go anywhere close to $40 again, you have a loss because you paid $1200 in taxes and made only $500. (1200-500=$700 loss out of your pocket). Therefore, you don't really want to touch any RSUs the company is giving especially during these high interest rate years where the market may go into recession. And now that we see the fruits of the labor for 5G is not paying off, you know the fruits of 6G may not either. Therefore, RSUs are not a great option for the employees at the moment. For the employer, it may help retain some employees who have not educated themselves on RSUs (restricted stock units). The best type of money is CASH (salary/bonus). You can take that cash and put in a 5% 2-year treasury note at treasurydirect dot com at almost zero percent risk and don't even have to pay state taxes on it, only federal taxes.
great point: bonus pools will be very small. raises will probably be even smaller, if that's possible. Why don't they issue RSUs??