Not sure of the reasoning for this. My guess is they are stopping all transition activities which means they need support for both systems. Cost savings in the short term but costlier in the long term.
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Fck around and find out. You’ll get a call from my attorney
What I don’t know is if VSP is considered contractual or not. The emails I’ve received haven’t exactly been air tight. They do represent intent and somewhat of an agreement but I don’t think they’re as ironclad as the COC.
However since nobody with VSP got LTI, that could trigger COC.
Oxy can't pull the CoC, as it is contractual. I'm not sure if they can shed the obligation (or parts of it) if they were to restructure in bankruptcy, but usually contractual obligations such as these have fairly high seniority. And I think for all of VH's faults and mismanagement, we're still a long way from bankruptcy, since there aren't any near term pending debt obligations, other than Buffet's secured payments.
Same question got the COC?
Was the VSP contractual? Can Oxy pull it or are they legally obligated to honor it?
I’ve said it before and still believe it. As L-APC I’ve enjoyed working with L-OXY and if this hadn’t been such a sh– show from the top coupled with Armageddon, this would have been a good career move. I have empathy for all of the individual contributors in this situation. I am thankful for the insurance, however long it lasts.
I feel for those who might have to stay longer by extending the VSP. Hopefully you will get it at some point even after legacy Oxy employees are laid off. At least you get to keep your health insurance while you work, and then extend it out longer when you leave if you are retirement age.
It will be interesting if we have layoffs just how many are able to trigger the COC from legacy APC. I am think maybe Oxy keeps the legacy Anadarko over legacy Oxy because they will not have to pay COC type payments to legacy Oxy. If in the middle of the transition keeping legacy APC keeps that knowledge in place. Again, the ones that get to stay will have health insurance during these tough times with the virus. Cobra is an absolute joke at the cost it is.