Things look so up with the company then why are we the workers not getting a piece of it? I 'm not talking stock prices /dividends.
26 replies (most recent on top)
The vision of Allied Signal as told to me by a gray beard many moons ago. Allied does not want to make anything except $$. Rent engineering, have a small PM office and license manufacturing to a 3rd party, collect profits on IP. Employ less than 20 people total and make all the money at high margins.
4qjc,
Brazil bribery investigation, SEC Asbestos accounting investigation, new CFO, lots of mergers/spins, zero taxes on ginormous profits and always able to exceed analyst expectations by 1 – 2 pennies. Management with zero integrity that lies to employees (e.g. reduction in 8% 401K match is temporary, work from home is bad, unlimited vacation is good and excellent healthcare) . I suggest you put your entire 401K savings in HON stock. Time to double down.
Yeah 1 or 2 big companies go bankrupt so therefore every company on the planet is uninvestable by their own employees because of “big risk” but you want people to get eaten alive by mutual fund management fees. Also HON prints shares for the 401k program which dilutes the stock price unless the corporation approves a stock buyback plan to bring the share count back into balance. Honeywell is buying more shares to keep the EPS and stock price going up, helping current shareholders. You must not own any shares to capitalize on this great opportunity to cash out. There is a reason you’re miserable and it has nothing to do with Honeywell!
Actually I have to admit I did grow up saying I wanted to work at honeywell. I lived in the town and the jobs were good. Honeywell was different then. Got my wish and met a family that I enjoyed until the allied buyout. That was the end of the real honeywell.
You should NEVER invest your savings in your employer's stock (regardless of employer). If your employer goes belly up you loose your job and savings at the same time. Employers who are looking out for their employees match via age based index funds not company stock. Honeywell matches via stock to juice the stock price. Honeywell only let employees sell HON stock after Enron because Congress changed the 401K lawes and forced them too. If we find out Honeywell has been cooking the books like GE then you loose your job and savings.
I want to be a project engineer at Honeywell when I grow up. Said no kid, ever.
If management could figure out how to ELIMINATE Engineering, they would do it in a nano second.
Bendix King is already on that road, just offering rebadged products that other companies have developed
well, the most important outcome of spin-off is that it allows interpretation .... it will last as long as investor buy it ...
Any investment from 30 years ago would likely have resulted in that. I don’t invest in honeywell and easily topped a million in my 401k by age 40.
The question is not what happened in past but where the company is going.
Honeywell says that 15% revenue drop was due to spin offs. So Roll the new companies back in the mix. I see the price up way more than revenue or future guidance.
Honestly I am just sick of the two faced message from all of leadership. Best software industrial in the world on the outside. Inside they whip middle level managers to stoke fear of marginal competitors like garmin saying the world is on fire and your job is lost unless you work 8 hours of overtime and makeup every single one of those unlimited vacation days.
If 1.4M in 401k was enough I would quit today. It isn’t. Soon though. Wish I could follow my friends to Raytheon.
What is needed is more management layers, higher management MIPS, higher management Restricted stock percentages, more HR gestapo layers, and much, much much LESS Engineers that make the Product! That will solve the problem. If management could figure out how to ELIMINATE Engineering, they would do it in a nano second.
yeah if you bought in on GE stock like you postulate for Honeywell , then where you be? Wall street is gambling. So stock is up does not justify lousy treatment of employees unless you like s&m or you a HR troll
3njb - It's all just on paper until you sell.
Old timers that went balls to the wall with HON stock in their 401k are millionaires and have nice pensions as well. Don’t believe me? 5882 shares = $1M. If you earned an average of 196 shares a year for 30 years (7.5 shares a paycheck) you would be at $1M in your 401k right now. If you’re 30 years in without 3000 shares in your 401k, you only have yourself to blame. Years and years i hear employees crying about ruthless management only boosting stock prices yet they’re afraid of investing in hon stock. Chicken little chicken sheets is what you are.
I would like to see more layoffs and furloughs to drive the op income line up even further. Need SPS, PMT, Corp and HBT to be as aggressive as Aero.
https://www.morningstar.com/news/dow-jones/201907191354/honeywell-cautious-even-with-profit-up-wsj
- 2ijn is correct. Here's a part of a WSJ article explaining the lower earnings due to the divestiture. Also key is $1.9 BILLION spent Q2 on HON stock buyback. The stock buyback to prop up stock share price is where the cash is going.
The company reported second-quarter earnings of $1.54 billion, or $2.10 a share, up from $1.27 billion, or $1.68 a share, a year ago. The company spent $1.9 billion buying its own stock in the quarter, increasing its earnings per share by 6 cents, while generating $1.5 billion in adjusted cash flow.
Sales dropped 15% to $9.24 billion in the quarter because of lost sales from divesting its home-security products business and transportation-systems business last year. The company said organic sales, which exclude currency moves, acquisitions and divestitures, rose 5%.
- 1epi: Of course YOY Quarterly Growth would be lower beginning Q4 2018 and carried over into 2019 as the Macrotrends charts show. The spinoffs of Garrett Motion & Resideo Technologies to new companies at the end of Q3 2018 accounts for that. Their revenue is no longer included on the HON balance sheet.
Okay then let’s look at the revenue chart
https://www.macrotrends.net/stocks/charts/HON/honeywell/revenue
Ouch.
Stock market is not a zero sum game. Each lower sell order impacts the value of stocks held by all the other owners even those not being traded at the moment. You can crash a stock by short selling a small percentage of the market cap.
You did get it right that Revenue is king.
I don’t see them doing wide scale cuts yet. Still a lot of unfilled jobs in aero. I do see them going after the overhead and the layers of management that have creeped in because of moving work to India. We added several layers of management because of the emerging market push. Time to trim that fat.
Squeezing employees is late stage action. Revenue has been declining. Profits are ok due to the cuts. The revenue is the long term story, can only cut so much. If we were on the start of a big sales cycle, we would not be cutting. Everything is great because that is a management story. They can't get on TV or go to a WS conference and every say things are slowing - stock would tank. Nobody will ever tell you to sell - stock will tank eventually because rev can't support it and management will try to defend it all the way down. It is all about the stock and management and WS have the inside track. Stock market is zero sum game - for every sale there is buy, every winner there is a loser. They are trying to beat you not help you get rich.
Hear Intelligrated now is into the furlough game
No, they do get A PIECE OF PIE !!!
https://discopete1.livejournal.com/88481.html
http://www.poetv.com/video.php?vid=36389
A skilled management team will find a way to reward their employees and build strong and lasting organization. These guys aren't anywhere near that capable. Squeezing the life out of your workers is the easier way.
I wait and watch this company will tank
eventually. There aren't many/any good employees left
I was RIF'd recently. Shouldn't be a surprise. This company does not care about the employees.
Bonuses and Profit sharing are 4-Letter words to HNY Executive Leadersh*t.
Why share it when you can keep it all to yourself?
Answer: Filthy, Greedy Bstrds.
Workers get as little as possible, top management gets as much as they can whatever it takes. Five cents please.