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Conference 7.286::digital

Title:	The Digital way of working

Moderator:	QUARK::LIONELON

Created:	Fri Feb 14 1986
Last Modified:	Fri Jun 06 1997
Last Successful Update:	Fri Jun 06 1997
Number of topics:	5321
Total number of notes:	139771

2346.0. "Resumption of U.S. Transition Program (from LIVE WIRE)" by CX3PT2::CODE3::BANKS (David Banks -- N�ION) Wed Jan 27 1993 13:06

   digital                     U.S. News                         LIVE WIRE

                       Resumption of U.S. Transition Program

      (Following is the text of a message to employees from Dick Farrahar,
      vice president, Personnel.)

  In keeping with our normal business practice, the U.S. Transition Program
  was reviewed at the conclusion of Q2.  Based on that review, a new
  Transition program will commence on January 25, 1993.  At the end of Q3, the
  program will be thoroughly reviewed again in the context of Digital's
  business goals and the worldwide restructuring and reengineering effort.
  Based on that assessment, a decision will be made regarding the program in Q4.

  Digital must continue to transform its skill and knowledge base and
  workforce size to support core competencies and respond to customers' needs.
  We must respond flexibly to changing market conditions and identify and
  eliminate redundant work and work that does not differentiate Digital from
  our competitors.
  
  The financial support package previously offered to U.S. employees selected
  for transition has been reviewed and revised.  The package that will be
  offered during Q3 includes reduced cash payments, but it still compares
  favorably with separation plans offered by other companies in our industry.
  The revision reflects current business conditions, the company's current
  financial performance, and its intent to manage transition activity within
  the limits of existing restructuring funds.

  The elements of the package include seven weeks of continuous pay, plus a
  lump sum payment based on years of service; continuation of medical, dental
  and life insurance coverage for a period represented by the total payments;
  formal outplacement assistance; and where applicable, a five-year
  acceleration of restricted stock options.
  
  The total payments will be as follows:

  0 - 15 years of service                   Seven weeks of continuous pay,
                                            plus a payment of one week of
                                            pay for every year of service
                                            up to 15 years.

  16 or more years of service               Seven weeks of continuous pay,
                                            plus a lump sum of 15 weeks of
                                            pay, plus two weeks of pay for
                                            every year of service between
                                            16 and 30 years of service, up
                                            to a maximum of 52 weeks.

  The Transition Program will be implemented and managed business unit by
  business unit.  Each business is reviewing its workforce requirements
  against its overall business and profit goals.  They then develop plans to
  address specific workforce balance needs.  The plans will be reviewed on a
  business-by-business basis by the Cross-Organization Committee.

  Given current business conditions, it continues to be imperative that we
  move expeditiously to restructure the company; however, there is an equal
  need to continue to proceed in as careful and caring manner as possible, as
  Digital defines the resources required to meet current and future business
  needs.

T.R	Title	User	Personal Name	Date	Lines
2346.1		GOLF::WILSON	Life in the oncoming lane	`Wed Jan 27 1993 13:08`	10
	We received the same memo thru VAXmail from our manager. It's really a sad state when quarterly review and downgrading of TFSO packages are considered to be a part of "keeping with our normal business practice". Can anyone point me in the direction of any recently distributed memos telling us what's being done to increase revenue, profits, productivity and employee morale as part of our "normal business practice"? I haven't see any in a while and could use a little pick-me-up.
2346.2	What's the law here?	MR4DEC::HARRIS	Cent milliards d'�toiles	`Wed Jan 27 1993 13:12`	4
	How does the seven-week pay period square with the 60-day notification period mandated by federal law? Mac
2346.3		CVG::THOMPSON	Radical Centralist	`Wed Jan 27 1993 13:18`	9
	> How does the seven-week pay period square with the 60-day notification > period mandated by federal law? My understanding is that the 60 days applies to plant closings not layoffs or reductions in force (which is what this is). Besides we haven't hired many in the last 2 years so it wouldn't be to hard to make sure everyone gets at least 9 weeks pay. Alfred
2346.4	Advance Notice	BTOVT::SOJDA_L		`Wed Jan 27 1993 13:23`	18
	>> How does the seven-week pay period square with the 60-day notification >> period mandated by federal law? As has been pointed out elsewhere in this notesfile, the 60-day federal law doesn't apply to all terminations, only those that involve a whole plant closing or substantial layoffs at a single facility. So, in many (though not all) TFSO's, Digital isn't obligated to provide 60 days notification but has chosen to give 9 weeks pay (approximately 60 days) in lieu of the notification anyway. In these cases, dropping this back to 7 weeks doesn't put them in any violation of the law. In those instances where Digital is obligated to give 60 days notification, they can get around it by simply telling you 2 or more weeks ahead of time that your number is up and then give you the 7 weeks pay. Not a nice thing to do but legal.
2346.5	"Treading water here"	BWICHD::SILLIKER	Crocodile sandwich-make it snappy	`Wed Jan 27 1993 14:13`	10
	Um...I thought that Mass passed a law that a minimum of 9 weeks severance pay has to be issued, which makes me wonder how that squares with the 7 weeks just announced...I am not really clear on this...except what I do know is that those they considered MOST expendable and let go a coupla years ago walked out of here with fine, FAT TFSO packages, and now they are cutting into the very guts of the organization, and we get virtually nothing...sends some message, doesn't it, although I realize that is not what was intended... Just wondering,...
2346.6		THATS::FULTI		`Wed Jan 27 1993 14:20`	16
	re: .5 > Um...I thought that Mass passed a law that a minimum of 9 weeks > severance pay has to be issued, which makes me wonder how that squares > with the 7 weeks just announced...I am not really clear on > this...except what I do know is that those they considered MOST Again, I believe that the Mass. law applys to plant closings and not general layoffs ala the 'federal law'. I also believe that the federal law was modeled after the Ma. law. I also doubt that DEC would do something as stupid as violating a law that it obviously went to extremes to avoid violating previously. But, one never knows does one? - George
2346.7		CSOA1::LENNIG	Dave (N8JCX), MIG, Cincinnati	`Wed Jan 27 1993 14:53`	5
	Interesting that eveyone's focusing on the 9 wk to 7 wk reduction; Didn't anyone notice the 0-10 to 0-15 range change? That is, besides the 2 wk up front reduction, they also dropped 1-5 wks for yrs 11-15. Dave
2346.8		CVG::THOMPSON	Radical Centralist	`Wed Jan 27 1993 15:11`	12
	RE: .7 > Interesting that eveyone's focusing on the 9 wk to 7 wk reduction; > Didn't anyone notice the 0-10 to 0-15 range change? That is, besides > the 2 wk up front reduction, they also dropped 1-5 wks for yrs 11-15. I noticed it. But I suspect it's not a big deal to people with less then 10 years service. To them the whole drop is in the 9 to 7 week reduction. For those of us, like me, with greater than 10 years it's a bit more critical. Alfred
2346.9	how about	WBC::DEADY	"...that's as green as it gets..."	`Wed Jan 27 1993 15:44`	6
	Perhaps the drop to 7 weeks is accompanied by an "assumption" that the 8th and 9th week would be your accrued vacation? fred deady
2346.10	45 or 60, Which is the Law?	FHOPAS::JAMBE::Mac	Lemmings are Born Leaders!	`Wed Jan 27 1993 17:49`	13
	Re: Several previous - 60 day notification period. I've not read the actual "law" regarding notification, but in a conversation with a local dec lawyer, the subject of 60 days came up and it was stated that the Federal law only required a 45 day notification, and other criteria applied, (ie. manufacturing site, # of people impacted, etc.) Can anyone confirm the actual federal law? Post it? Anyone with a LEXUS or WESTLAW account? FWIW -
2346.11	what is the date for this one?	STAR::ABBASI	free like a bird	`Wed Jan 27 1993 18:12`	11
	hi, i cant see from .0 when it say the TFSOing will actually happen? any one knows? you remember how it was last year when every one knew that it will be DECember 7 or the 14th, how about for this one? is there such a fixed date too? thanks! \bye \nasser
2346.12	Coming soon! Middle of Feb?	ELMAGO::BENBACA	oDoTretteBgnihtynAevaHuoYt'noD	`Wed Jan 27 1993 19:02`	1
	The Valentines day massacre
2346.13	RULES TO LIVE BY	GLDOA::SEVIC		`Wed Jan 27 1993 21:16`	2
	Everyone has been TSFO'ED, just some of us get to hang around longer than others.
2346.14	Not an official Abe Lincoln's holiday, but close...	BTOVT::WORCESTER_J		`Thu Jan 28 1993 12:42`	3
	12 February... phase II of Burlington, Vt plant's downsizing...
2346.15	What happened to the Valentines day massacre?	19522::JACOBI	Paul A. Jacobi - OpenVMS AXP Development	`Wed Feb 24 1993 12:50`	7
	So, we are almost to the end of February. Could some one post a summary of what happened this month? There are notes that confirm the downsizing of Burlington and at CXO. Was anything else hit? -Paul
2346.16	just wait	34860::BABCOCK		`Wed Feb 24 1993 14:10`	6
	I THINK IT GOT POSPONED. We were told this morning that our hit will be in early March. We will survive! Judy
2346.17	delays or delaying tactics	HIBOB::KRANTZ	Next window please.	`Wed Feb 24 1993 16:51`	6
	People in CXO were told that corporate EXPECTED to have all the TFSO work/approval done before the end of March, but that delays MIGHT prevent events from completing by the end of March. There are people waiting to start new jobs at other companies - it feels like corporate wants people to have to leave without getting a package...
2346.18		AKO598::SHERK		`Wed Feb 24 1993 17:20`	7
	I received a transition package from a company once which had a stipulation that my pay would continue up until the time I took another job. It would seem to be appropriate here since the T in TFSO stands for transition. Ken
2346.19	New goal: 100K?	STAR::PARRIS	Any port in a STORME:CI,SCSI,DSSI,FDDI	`Thu Feb 25 1993 12:26`	19
	This week's Information Week has an article on DEC and Robert Palmer. I found the side-bar on page 76 interesting: Palmer's 3Rs Reduce o Cut work force to about 100,000 employees o Consolidate product lines o Slash engineering costs Reorganize o Revamp corporate structure o Establish business-unit focus by industry sector and product lines o Recruit outside managers Refocus o Instill a customer-driven orientation o Highlight software and system integration services We're already at about 100,000 employees now, right?
2346.20		ICS::CROUCH	Subterranean Dharma Bum	`Fri Feb 26 1993 07:11`	5
	We're probably about to take on another 15,000 from another aquisition. We will still need to TFSO another 15,000. ;-) Jim C.
2346.21		SAHQ::LUBER	Atlanta Braves: 1993 World Champions	`Fri Feb 26 1993 08:27`	1
	Maybe he meant cut the workforce BY 100,000 employees 8:(
2346.22	Microsoft has about 15k people :-)	AXEL::FOLEY	Rebel without a Clue	`Fri Feb 26 1993 15:44`	5
	RE: .20 Who the hell are we buying now? mike
2346.23	Lost 2 in NR03...	MR4DEC::FBUTLER		`Tue Mar 02 1993 07:58`	5
	We have lost a couple of people from the Cust. Svc. group that supports us in the Trade Show/Customer Event area, and it sounds like there are still a couple that haven't been told yet...