The consultants hired for the F2BOW initiative have set a target headcount reduction of 60-100. This is for business only, tech headcount reductions haven’t been determined yet, but they said there is significant “capacity creation” there as well. No set date, but probably later this year.
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@1vw Several Tech teams were let go June 30 and the next batch to be cut loose go July 30. I have heard it was the people who manages databases, servers, the network, storage and backups, and a couple others, but no one seems to know but that are in the headcount reduction.
These are very sad times when US workers can lose their jobs despite being qualified and performing well only to have their brains drained and their years of work from pre-school through advanced degrees through decades of proven experience neatly packaged up with boy and inserted like memory chips into random people who work cheap and do not face the same protections or requirements that US workers have to abide by. Anyone who has a kid in college or recent graduate needs to take a hard look at this. Entry level jobs are going not just to AI but 100s of thousands to workers in other nations. This helps lead to decline in the communities their headquarters sit. People are forced to leave because of no job. Those wages are no longer taxed by local, state, and fed taxes so that tax revenue vanishes dragging down quality of life in those areas plus potential tax increases to though still working in those places. Offshore workers and many visa holders hired at companies for middle class white collar jobs do not have to pay FISA tax on either side - leading to less funding for Social Security that affects everyone. Finally, this will discourage people from going into fields that still have jobs not taken by AI because they have to compete with the entire planet including people who can live on $9k a year without benefits. This will lead to reduced US innovation and increase our dependence on other countries to do once basic things.
It used to be loyalty to company and moral obligation to the locations that helped support them over the years...they seem to still want to make money of Americans, just not employ us so they can further enrich their C suite. The government has sold us out including Trump so it is accepted.
Before you convince yourselves that you'll be fine at T Rowe - remember, that many of us that have gone got terrific reviews year after year, "performed difficult tasks they cannot possibly find anyone as good as you are", or "But my boss likes me" think again. I thought a lot of that as well. Considering some teams were cut from the boss down, if your boss can save his job and help his bonus but cutting you he absolutely will. I worked very hard to be a far above average worker. Volunteer to take on new tasks, train and learn new things, etc. It didn't matter.
Think what you want...but you may one day be thinking how you are going to pay for everything while the job market yields nothing despite writing good resumes and sending out 100s. My attitude is if it comes to bankruptcy, fine. Yeah, I will take the hit, but maybe when enough Americans have to default on their debts they may remember this. All of the major credit companies pass over Americans in favorite of cheap foreign labor whenever remotely possible.
@1vv what happened June 30th?
@1vj With IT the timing seems to be 1) Earnings Call 2) Department meeting where you get told to watch your mailbox for an hour for a pink slip invite, 3) If you sign the paper, they will allowing you to stay on a few months, but to train your inexperienced, unskilled, and inept replacements. 4) When no longer needed you get cut loose. 5) Another Earnings call, rinse repeat. I guess it could also depend if you are needed to train someone. Anyway since a hoard of IT workers were sent packing June 30 and July 30, their slate is clear to begin the cycle again. Good luck everyone.
@1v5 Your boss must have "pretty lips"
@1v3 They explicitly said layoffs, but there’s also big re-orgs coming. I don’t want to dox myself, but this isn’t speculation but facts. I don’t know the exact timing, but I think layoffs are Q4
My boss is the absolute worst — she slacks off, shows up late every single day, has no clue what's going on with our work, and harasses people on top of that. I've spent this whole past year praying she'd finally get fired, but instead she somehow got promoted. Seriously, what is going on? It's not like she even brings in much profit. She just dumps all her work on her subordinates — she genuinely can't do anything herself. Zero competence. What kind of evaluation system is this? None of it is functioning at all.
@1tz is there a timeline for F2BOW reorg?
Also are we just assuming there will be layoffs ? It could just be a realignment of departments too
@1s0 This is just incorrect. F2BOW team is discussing the headcount reduction of 60-100 alongside outsourcing.
This is for non-tech roles. Also, it’s not just Accenture, they’re exploring many options right now.
Tech is being discussed later and will have its own outsourcing.
@1s0 buuuuurned
@1es maybe
But today it’s only support services. Like Tech. You might want to focus on what’s in your future before spewing expletives.
@ae Q2 has gone. Chance of next several weeks before 30 Sep looking more and more likely.
@1et when Accenture Investments starts come back to us. Until then maybe you should upskill 😁
@16j Accenture can easily take your special "front office" jobs. They offer that service. Unless you are a high up manager. You wouldn't be the first person who felt "safe" to be looking at a "Business Update" e-mail. 🤣
@1e7 Get back to me when they start offshoring jobs in Investments, Accounting, HR, etc. Smug A-holes like you feel safe...Accenture doesn't just take IT jobs. F2BOW will cause people within Investments to lose their jobs. And AI would not take all jobs this year. Americans could have used those years. Maybe when taxes increase due to billions in tax revenue and FICA payments get lost by these cheap labor schemes (onshore or offshore), the lucky ones still working will have to "dig deeper". Wes Moore will have no problem raising your taxes. Neither would Mamdani or Spanberger.
@16j most of traditional IT functions will be done by AI. Today it’s only code but tomorrow it will be design, architecture, engineering.
Investment companies don’t need top notch technology. Gong to Accenture is a smart move since it allows management to focus on investing talent. And saves a lot of money.
There are people who complain it’s unfair. And there are those who complain that it’s changing the culture etc. Both do not get the point. Management goal is to get the profits higher and increase stock price. Outsourcing non key functions is one way to do it
@18f which is wild considering they are ok with people working from a different country.
The in office mandates are merely power plays on my opinion. And the poster gleeful about the shift seems to view working in office as some sort of retribution for the past flexibility that perhaps their role was not afforded. Any job that can be performed remotely should have a decent bit of flexibility to do so. The collaboration argument is dead. anyone who can’t collaborate effectively remotely with all the tools now available can’t do it in office either since a large number of participants are remote anyway.
@16q I believe the poster was commenting that was the case in the past but not anymore…
@16j who’s getting unlimited WFH? Get me on that team
@14r my uncle can change tyres and an oil filter. Doesn’t mean anyone would want him to.
@14q can the ignorant scaremongering stop! IT is a cost centre and can be outsourced easily across borders. Front office roles are harder to outsource and not something the vast majority of top asset managers would ever do.
The IT easy days are over. No more inflated salaries and unlimited WFH. Grow up.
@11e It was on SharePoint under the initiative's page. They've restricted it now. The spreadsheets with salaries and headcount reductions, meeting transcripts with execs, and timeline docs were all out in the open. It's a mix of layoffs, outsourcing of business and tech roles, and consolidating teams. Cost savings are the top priority.
Here is the list of the types of functions Accenture staffs. You can decide for yourself whether your function is at risk. It is NOT just IT. https://www.accenture.com/us-en/services
@126 Deep dive in Investments from back office to front. Then consult with Accenture on how many of those jobs they want. Then start telling the people in those jobs currently they have to train a bunch of randoms with little experience who will work for $6000 a year with no benefits and no FICA or Medicare taxes need to be paid on these folks. Basically a slave class of workers that are OK to underpay and overwork. Pretty standard these days as our government is too busy counting their donations from big tech and ITSERV to care.
@10t what does that mean?
@x4 Where were they and what kind of layoff info was there? I had no idea it was out there. I did hear from colleagues that another wave was coming around the next earnings call.
@yp it's business side, not tech
@y7 front to back office workflow
@y7 probably some tech org phrase they throw around.
What does F2BOW mean?
They made the documents about the layoffs private now lol. Still stands that there’s some cuts coming in Q3 or more likely Q4
@er There is a smart way to make cuts and a d-mb way. Populating a business with people who won't be able to really contribute and move things forward is foolish. It solves the expense issue, but if the business fails due to poor execution what is the point? I am wondering why all of these layers and layers of managers will be looked at? They are the top earners and not all are worth it. People can make their own decisions as to who needs to go.
@ee so what you’re saying is … everyone
All countries and all teams are at risk
@ed can you name the areas under review?
Timing is clearly uncertain, but it is hard to see how the firm can go on without more expense cuts.
The gap between Net Income growth and Wage Expense growth is still huge. Stock price has gone sideways. If top line doesn’t keep up you cut expenses.
Most people here get on with their stupid moral bullsh-t of how they are intelligent employees and how they used to love the culture. Markets dont give a rats behind for your precious culture.
@ed Thank you - I will have to check those out. If I find out where I will post location for anyone else. We were told something about "90 days". Not sure if that is how long F2BOW is or how long it will take to implement it. The meeting we had was about as vague as all of the speeches on their exciting "AI Lab".
@bs It’s not just US. Anyone who works front/middle/back office is at risk
@e5 The documents related to F2BOW are certainly not secret and that’s where you can see the layoff discussions… oh sorry, they call it “capacity creation”
Two things can be true at once. Yes, this is one of the excused work remote all week weeks, but it is possible there will be more cuts. At the rate this place is going, it will probably be until all T Rowe employees can fit in HP. They are very secretive about this F2BOW. I already forget what that stands for. In the meeting I was in, the big mucky mucks were all giddy unveiling this, but at least we did not get many details. First I am hearing about a consultant. I wonder if they are associated with Accenture? Of course Accenture wants to take as many positions as possible so they can make more money, so that is kind of like the fox watching the hen house. Anyway all I can picture is "The Bobs" from Office Space. Anyway, it seems that all F2BOW is an excuse to get rid of more people and more people beyond IT. This place is so unstable I am glad to be leaving. Good luck to everyone. "Headcount" is a euphemism for crushing peoples' dreams.
@ap Calm down. This is one of 3 weeks this year where everyone works from home. It was announced at the end of last year. Pay attention to your email and stop trying to start fires here.
@bj what? Mass layoff in the US? Sorry guys