ATSV definitely will have major cuts and jobs moving to Northern Ireland and India. They are looking at huge cuts in budget to fund some pet projects with little ROI. Has anyone done ROI on Compozed? Relocation strategy will also add to people losing jobs in Northbrook and high levels of attrition will continue.
Can anybody confirm if this is true?
Oh, so this is a personal thing between you and Glenn.....I thought you actually had a perspective on the business strategy. Never mind.
I never argued about the need for expense reduction and that employee are the biggest expense. All I said is that revenue and combined ratio (if you know what that is) have begun to move in the wrong direction so there will inevitably be more layoffs because that is how Glen runs the business.
Then, stoop to acknowledging you’re wrong, and if you knew this business (or any other for that matter) you’d agree on the necessity for expense reductions, given the Expense Ratio. You know what that is, right ?
Yes I absolutely know more about the business than you do, if YOU only knew. I don’t stoop to name calling though.
1) Forgot more than I ever knew about this business ?.........if only you knew.
2) If the business is in a downturn, due to either business cycles or uncompetitiveness, you still reduce expenses commensurate with declining revenues. Employees are biggest expense.
3) If you don’t understand that, you’re an id--t, which it appears you are.
There’s lower revenue because he’s running the company into the ground and customers are leaving. I forgot more than you’ll ever know.
You’re right, employ the same number of people, same expenses, with lower revenue. Brilliant. I’d love to be your competitor.
It’s called running a business into the ground
If they lose market share, that means you have less policies, and less claims. You better have less people. That’s just common sense. It’s called running a business.
As the stock price continues its steady decline and Allstate continues to lose market share expect layoffs once again, that is how Glen “fixes” things.
"Rule of thumb. If the product you’re responsible for is a commodity, a responsible publicly held company, and its management team, will seek the lowest production costs and and expense. That often means outsourcing/offshoring. Most employees will argue that their role or function is “art”, or requires expertise, and that’s where the real debate is.
Others will argue that company’s have a social responsibility to the community to employ locally, even at a higher cost. Maybe, on the margins, but that isn’t a good recipe for improved EPS, and share price. It will also get the management team sh*t canned."
Thank you for this well written, concise and unbiased summary. It is not what I want to hear but I feel about sums it up.
Liberty Mutual just announced 1,100 reduction in staff, mostly in claims, some IT.
Wells Fargo just announced reduction of 600, Financial Services.
Rule of thumb. If the product you’re responsible for is a commodity, a responsible publicly held company, and its management team, will seek the lowest production costs and and expense. That often means outsourcing/offshoring. Most employees will argue that their role or function is “art”, or requires expertise, and that’s where the real debate is.
Others will argue that company’s have a social responsibility to the community to employ locally, even at a higher cost. Maybe, on the margins, but that isn’t a good recipe for improved EPS, and share price. It will also get the management team sh*t canned.
Started 10 years ago, but only going to further accelerate this shipping of jobs in 2019.
A bit late with news, all that started 10 years ago.
We’ve had technology operations in Northern Ireland and India for at least a decade ! What’s new here ?
It's already happening!