Thread regarding Follett layoffs

You are absolutely correct. They have to shore up the bottom line by reducing expenses. Human capital is the number one expense of most companies. If they cut in the next month, the severance will reduce the payroll savings from 5 months to 3 or less depending on the tenure of the employee. Layoffs so fast you'll freak.

You hit the nail on the head. IF the company pays severance the one time charge can be expensive. Although 1 week per year pays for itself within a year. Consider, they abused out many long time employees (no severance). They eliminated most full time positions (highest paid) already. They won't owe severance to part time employees. Cutting will be more profitable, in the future. Also consider, achieving profits by cutting bottom line expenses rather than growing top line sales is a characteristic of a dying company. It is contracting. It is no longer evolving, adjusting or changing to meet the new market demands. It is doomed (unless it finds a way to increase top line revenue and begin growing its organization). All this applies to retail operations. However, Follett is pretty top heavy with management, Ironically, they decide who is fired, and are fairly immune from firing. They, too, would carry the most expensive severance packages.

More layoffs ahead then due to poor sales. If the bottom line numbers it won't be due to severance payments. That impact would be minor. What/who are they going to blame next I wondered.

Even though sales were relatively strong, not sure the bottom line will be similar. Only one way to boost the bottom line for the short term. Although layoff related severance payments really impact the ability to improve the bottom line with only six months left.

I completely agree that front line managers are severely hurt by layoffs. The company decided to fire their most skilled workers. However that doesn't mean expectations around performance were similarly cut.

If the next layoff is bad I'm sure this board will be filled with a lot of interesting posts.

Actually the worst part of the layoff process is for managers who have to get work done through employees. The employees just don't care and are no longer engaged. Hopefully these layoffs are done soon as they beat down the employees.

A layoff communicates to workers that management has lost control of the company's place in the market. Staff that was seen as essential only a few months earlier must be terminated today because the market has changed. Ironically, the very people who select their colleagues for termination are rarely subject to termination themselves. They continue to lag the industry and they continue to hurt their colleagues, shareholders and their company. Time to go management!

You wont find that here. Go into work get a tap on the shoulder and shown to the door and try and make it as unnoticeable as possible to others. No don't touch anything on your desk, leave it, we'll decide what it yours and ship it to you. Come with please me now.