Thread regarding State Farm Insurance layoffs

How long?

IMO SF never fully recovered from the last IT transformation. Mgmt screwed up so badly 5 years ago and this HCL move is a Hail Mary in an attempt to recover. Why these huge disruptive moves? How long do you think this will take? Minimum 5 years. And keep in mind the talent that knows how the current systems work only have a year contract with HCL. It’s NOT going to go smoothly. Great job leadership!

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| 2722 views | | 6 replies (last January 19, 2023) | Reply
Post ID: @OP+1kIws9FD

6 replies (most recent on top)

@2gye+1kIws9FD correction … there was a bunch of talent in tech… talent is mostly moving to HTC or resides in an external resource which will be cut. Your statement that IT transformation was a success made me laugh and was also beyond ignorant. But I guess ignorance is bliss.

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Post ID: @3riz+1kIws9FD

This is beyond ignorant. ET transformation was a success, we started deploying far more with less bureaucracy. Infastructure has been a distraction. This will allow SF to focus on core CX technologies which we do quite well. There is also a ton of talent at SF, especially in tech, despite the narratives on this site. In general, this site is full of misinformation and uninformed people making wild assumptions that are 99% junk.

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Post ID: @2gye+1kIws9FD

State Farm ET is a slowly-moving train wreck, they already can't attract anyone competent because they pay so little (why in the he-l would would experienced competent engineers work in State Farm ET when they could make $30k+ more somewhere else?).

Offshoring labor is removing the tracks that the rail was on, now you don't even have the guardrails of the US education system anymore to give you graduates who know what version control is.

Companies like HCL hire people who have never even done the work they have been hired to do before, this plan will blow up in such a spectacular way it will be entertaining for everyone except leadership

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Post ID: @2qow+1kIws9FD

Outsider here. I would advise you to browse this board for the other insurance companies. They all seem to following the same playbook.

I was at Pacific Life and they did this in 2019 and it was just the start of many waves and phases. Really caught us off guard as we watched the older employees in IT work until retirement.

Anyone who was “rebadged” yup they were cut within 1 year. Senior leadership presented the whole thing like they were doing all a favor.

And yes the outsource mania spread to other groups.

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Post ID: @oqu+1kIws9FD

I have a sneaking suspicion that this is the first step in migrating cost metrics (employees) to a lower, off shore, cost.

First it will be IT, then maybe some general support roles, then maybe sales, then IRL, then Express, then Underwriting.

When your company treats its people as cost metrics, its only a matter of time before they create a scenario where the only solution is to use $5k/year Indian workers or $7k/yr workers out of manilla.

HCL is already established, and so this is likely just a testing of the waters, should it go reasonable look forward to TONS of jobs migrating over to the cheaper labor.

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Post ID: @jko+1kIws9FD

The point of the HCL move is to get rid of people without taking the direct blame for it.

Step 1 - move non-exec employees to HCL
Step 2 - HCL fires anyone with tenure and replaces them with 25 year olds
Step 3 - HCL buys corporate South from SF and gets those empty buildings off the books
Step 4 - Bad PR from HCL's firings blamed on "vendor issues"
Step 5 - huge bonuses for remaining execs for "performance" and "leadership"

Rinse and repeat with Underwriting!

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Post ID: @vxx+1kIws9FD

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