Will Jamie's protege ever stop with the layoffs?
4 replies (most recent on top)
Cheaper doesn’t equal “efficiency”. Nothing has ever gotten better by offshoring. Cheaper is rarely the better option.
No. He won’t stop because he wants employees to be on edge all the time. Also, he doesn’t have a clue how to actually get the bank out from under the asset cap and truly grow the business. He is a one trick pony for the WF Board!
"Is there an end point to this EFFICIENCY?
Will Jamie's protege ever stop with the layoffs"?
Yes & Yes
When the bloated headcount the bank still has with way too many team members (oooooops I meant employees) is finally reduced to a number acceptable to the BoD's (this is the group that thinks there are too many employees) AND a sufficient number of superfluous bank branches are permanently closed then both of your questions will be answered.
The protege is merely the useful tool that the BoD's brought in to do the deeds.
To meet expectations, you either increase revenue or cut expenses. There is no other option. Growing revenue requires the cap to be removed. Charlie is wholly (and obviously) incapable of doing that. So Charlie's ONLY play is to cut. That is why he brags about it. He claims it to be his idea, when in fact, it's only because he's a failure in getting WF out of hot water. And that's exactly why he downplays the impact of the cap. He recently said the cap hasn't been damaging. Who in their right mind agrees with that?
I don't know how a CEO could be more embarrassing. What's even more pathetic is that the Board of Directors is complicit in this incompetence.
Is WF inefficient compared to peers? Yes. But cutting tens of thousands to a headcount with no real strategy is going to make a terrible situation far worse. Let's be honest, there is no future for this company. How do you destroy any and all morale, require more of your employees to cover the lack of headcount, limit your talent pool to a select few cities and still live under a cap and consent orders. Worse, the problems haven't slowed under his leadership. The problems continue. WF is in a death spiral. It's just a matter of how painful it will be before the death knell sounds.