Hello all, I am an engineer within Honeywell aerospace. I saw the news about the upcoming spinoff.
I am very ignorant as to what this will mean for me and my engineering peers.
Is this a soft signal of layoffs to come? What other possible negative impact could there be? My understanding is Honeywell aero is very profitable.
Is this a signal for me to go get a different job or is a spin off not necessarily a bad thing?
Thank you
By the time a spin off is announced it’s already been decided who goes with the new company and who stays. Except for a few that may get negotiated here and there.
Your signal to get a new job is that you work for Honeywell.
As a previous product leader. I can assure you aero spin off is imminent .
The New CEO, has no other way to increase stakeholder value then to spin off. He has already exhausted acquisition, which didn't give him much boost. Call the employee of the new acquisition, he probably laying off people, selling land and leasing it back to infuse cash flow, and improve margin.
Wall street wants Hon to spin Aero. Aero on its own seems lucrative, will generate equity. While the spin off will better for employees, but a investment company buying AERO would be a disaster.
Think hard, the if an investment company buys it. They will have their sharks further evaluate to cut the aero into pieces, sell or float pieces into the stock market to make more money.
I would say, spin off hang around for a year or so, but keep looking. If invesment company acquires it. Jump, don't look back.
Hon is done ! Just look around tour R&D investment. How many Ph.Ds do you have? Look at the profile of your top leaders they are mostly low grade engineers, who made through engineering programs with barely a 'C'.
lets be honest C grade engineer will barely innovate.
Look at your CEO, he is more concerned about moving jobs to India. Aero makes him uneasy, due to ITAR restriction, so he wants to get rid of it. and move jobs to india.
But if you are engineer, I would jump! Good luck. Happy new year
One thing that has me worried is that I won’t be working for Honeywell on Dec 15, 2025 or 2026, whenever . According to the rules I wouldn’t get a 401k match that year because even if the Honeywell name stays associated with who I am working for it won’t be the same company I started that year with.
‘Not a good time to be a manager when the change happens either. Any manager with job skills should consider going back to an individual contributor while there is still a chance.
What will happen with Space ?
Absolutely will lead to layoffs at Honeywell aero
Spin-off? What spin-off? It’s only talk and rumors until it’s official 🧐
Just go read up on what happened with recent spin offs.. Garrett (bankrupt).and Resideo (not a disease). Initially the new company would have to tell the truth and that will be ugly.
Aero could be carved up as well with engines going one way , avionics a different way and sensors staying in the main company as the cash cow to milk
Spin off might be a good thing if this stops not so smart things done to aero to make up for problems elsewhere.
Do you have any idea the number of 'there're gonna spin off aero' reports there's been over the last 30 years?
This is just another Tuesday.
The Signal went off a long time ago
Is this a signal? Well yeah, even Helen Keller knew that answer.
It all depends which route the separation takes. Spinoff might be neutral for someone like yourself. A sale or breakup+sale might be the worst of the scenarios.
If you had any interest in intercompany/sbu moves, now is the time before you get restricted from doing so.