Thread regarding Allstate Corp. layoffs

ERS strategy revving back up again

Employee Relocation Strategy seems to be gaining momentum, especially for Tech folks. If you are in Northbrook (hudson is next), start planning now. Plan to relocate to Irving/Charlotte or leave, as the company may be looking for a way around severances in this situation. If you plan to leave, there are many opportunities in Chicago, get them before they dry up.

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Post ID: @ZqLyRHh

27 replies (most recent on top)

You keep seeing Hudson is next because people like to trade in id–tic unsubstantiated rumors that have no basis in fact.

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Post ID: @ZqLyRHh-1hrra

I’m curious why I keep seeing Hudson is next. The office is changing a lot and rapidly but it doesn’t seem to be shutting down. Seems it makes sense to be one of the hubs that remain, especially with the centralized underwriting done there and the recent MCO changes, no?

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Post ID: @ZqLyRHh-19svk

It appears that they are doing ANYTHING they can to avoid paying severance now. Any CA claims people want to post re: office closings and no package offered? It appears that it's being handled differently depending on who you know?
Of course with the current corrupt Dept of Labor getting them to look at the systematic "closures" staged several weeks apart so no WARN notices given, you gotta wonder how long before class action.

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Post ID: @ZqLyRHh-Gerx

If your job is eliminated or relocated beyond a certain distance (I believe it’s 50 miles) exempt jobs have historically been eligible for severance. You could ask HR ?

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Post ID: @ZqLyRHh-Feza

Will severance be extended to employees that are asked to relocate but are unable to do so?

So far, the only three options I’ve heard about are to either relocate, find another position, or “leave”. What happens if you simply refuse to pursue any these three options?

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Post ID: @ZqLyRHh-Fkwb

"Not sure about the “quietly eliminated” part, as I think this strategy was openly communicated, on a countrywide basis. "

Please tell me where this info is communicated. I have heard nothing on processors since the total loss processors were eliminated 2 years ago. IF it is brought up in our office we are told there is no news. I also have not heard about the MD processors or any layoffs since total loss. Transparency?

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Post ID: @ZqLyRHh-7ygp

Not sure about the “quietly eliminated” part, as I think this strategy was openly communicated, on a countrywide basis.

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Post ID: @ZqLyRHh-7nnx

It's out there on AllstateNow. Most commented post ever! But not for good reason. Also, just found out today that sometime last year all casualty processor roles were very quietly eliminated in MD. this is coming to the rest of the company soon I'm sure and I'd bet this payroll change is happening so quickly because it's just ahead of the next round of layoffs for the processors in casualty claims.

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Post ID: @ZqLyRHh-7igq

There will be no “two weeks delay”. Employees will not have less money to spend. Employees will not have one less cent in their pockets as a result of whatever change this is. If it is real, someone should post an official communication on this subject, from the company. If it’s true, there will be one.

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Post ID: @ZqLyRHh-7nff

Due two weeks delay in pay, a person will have less money to spend.

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Post ID: @ZqLyRHh-6mgl

I’m not sure I understand how “Christmas shopping” will be impacted. If there’s a 12/16-12/31 pay period, that means there was one before that which ended on 12/15. How will it impact shopping ?

Particularly if you know about it in June ?

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Post ID: @ZqLyRHh-5dyg

Everything is listed on internal portal page.

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Post ID: @ZqLyRHh-5oyz

Why was the announcement not sent to all employees today?

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Post ID: @ZqLyRHh-5svx

Could be related to ers or accounting games, but Christmas shopping will be impacted. Pay period 12.16 12.31 will be paid in 2020

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Post ID: @ZqLyRHh-4cgv

So, everyone is going to get paid exactly what they’re owed, right ? And it has zero to do with Enterprise Resource Strategy, right ? Geesh.

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Post ID: @ZqLyRHh-4har

August pay withholding is real and listed on internal home page. The change is from biweekly to weekly with one week delay.

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Post ID: @ZqLyRHh-4eax

The reason they don’t offer voluntary termination offers (VTO’s), is they want to do this in a controlled manner. VTO’s are hard to control, and you can go too deep, too fast. Then they end up paying “stay bonus’s” to execute a controlled migration. The work in Northbrook will need to be done until they’ve executed the transition.

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Post ID: @ZqLyRHh-4tba

I don't understand why Allstate doesn't offer a termination package to employees housed in Northbrook. That would quickly reduce the numbers dramatically, putting the company that much closer to meeting its objectives.

While attrition accomplishes the same goal, it takes much, much longer for it to do so. In some cases, so much so, that location strategies may very have changed again - perhaps back to a centralized approach.

As for an "August pay withholding", I have not heard of such exercise. Is it perhaps tied to a certain department?

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Post ID: @ZqLyRHh-4por

“Fast paced start up’s” represent a tiny percentage of American business. Not everyone can work at those. While the environment may seem preferable, eventually if those company’s are successful, they grow up to be Fortune 500 companies, especially if they’re acquired by a legacy company. Hopefully they can hold on to the culture. Here’s what I don’t understand. Why don’t millennials have an interest in changing those cultures (which means sticking around and advancing from within) instead of job hopping ?

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Post ID: @ZqLyRHh-4mkz

Haven’t heard anything about a week’s pay in August.

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Post ID: @ZqLyRHh-4uoe

I don't think Allstate or companies like these are now seen as a desirable employer to work for, especially for millennials. They most likely prefer fast paced startup like companies and job hop quite a bit. Looks like even current long time employees need to look for other opportunities.

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Post ID: @ZqLyRHh-4mie

I believe there is a big CI board in Home Office with perhaps 5 scenarios. We all know the company wants to reduce a specific amount of expenses in 2019 and management is aware of the target number of reduction in employees. All this being said, I truly believe Allstate is turning over every stone in order to save money and letting attrition do its part before letting go of employees. But the announcement about withholding a week of pay in August is too much. Especially with the salaries and bonuses of top brass. I believe this is where the mutiny begins. Especially with the millennial generation. It is too much to stomach. You cannot continue at this rate and get good employees with good quality work which ...seems to be okay with AIC. There will be social media pushback not just with AIC but other Fortune 500 companies.

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Post ID: @ZqLyRHh-3sfv

The fact that a company has a business strategy that may cause a reduction and/or relocation of employees doesn’t mean they consider them “an unnecessary burden”, or “would be thrilled to see them go”. It’s a publicly held company. Leadership has an obligation to operate it efficiently and in expense conscious manner. Sometimes that impacts individual employees. It helps others. They’re going to need employees in these hubs, possibly fewer, in less expensive real estate. As an employee and shareholder, I can objectively see it’s the right thing to do.

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Post ID: @ZqLyRHh-2iju

The OP is correct. You can call ERS - Employee "Resource/Relocation/Replacement" Strategy. Basically, Allstate wants to downsize in NB with relocation, retirement, reduction in force & replacement. You can interpret the 'R'. Willow Plaza has been emptied and ready for resale or demolition. The Real estate strategy is to consolidate into the high rise North Plaza and sell the remaining campus.

There has been a lull in ERS the last few months, but definitely being talked up more, especially as it has come up in employee town halls.

I don't think OP is saying this is new, just that this initiative has been revived and you need to look out for yourself and get out when the going is good. If you are a NB employee yes get out of Allstate, the company is not interested in you. You are just an unnecessary burden and they would be thrilled to see you depart.

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Post ID: @ZqLyRHh-2yvw

Agree, that’s what the acronym stands for. There may be more noise, but the execution of the strategy hasn’t “ramped up”. There’s a plan, that’s being executed on the timeline. Nothing has changed. If potentially impacted employees think it’s in their best interest to look around, they should.

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Post ID: @ZqLyRHh-1hdn

Actually ERS stands for enterprise resource strategy and yes we have more noise on the floor about relocating.

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Post ID: @ZqLyRHh-1yry

Nothing is “revving up”, or “gaining momentum “. There is a clearly articulated strategy to decentralize work/workforce from the Northbrook complex. It’s a multi year strategy, and it’s not called “ERS” (you must have just made that up). There are cheaper places around the country to do business, and it makes sense to have redundancy rather than locate all these roles in one location.

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Post ID: @ZqLyRHh-1gvc

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