Anyone else hear rumors of widespread mass employee pay cuts at ADP due to the downturn in the economy and the coronavirus? This is disturbing. It scares me since so many clients are leaving and many small businesses are closing due to what is happening that the rumors may have some merit. Anyone have any info?
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Email will come out tomorrow morning with the specifics, but there will be 500 cuts across the company. Not sure on exact timing of the cuts.
Execs are also taking a pay cut, as previously mentioned.
Only top execs taking pay cuts. Any furloughs or layoffs would be sector driven, not company-wide.
Most likely a wage freeze, as was mentioned, as well as an extended time frame with no increase.
Back in the early 2000s, we got no raise for 1 - 2 years and the reviews were changed from 12 to 18 months. Even when we got increases again, the increase amounts were quite small for a few years, and this was for employees with good reviews.
Nearly certain raise freeze if not a cut
Which I would prefer over a lay-off.
Certainly pay cuts are possible. With the hemmoraging of clients because of a lowered quality of service, ADP is facing serious issues that it hadn't before. And add the Coronavirus and business failures because of it and it looks very bleak for ADP. This is very serious stuff that hasn't been encountered before, and with ADP in a weakened state because of its strange decision to save on labor costs by dumping out its knowledge base of experienced employees, this is very bad. Cutting costs even more by lowering wages is certainly an option to try to save the company.
Reducing pay will never happen.
Other tools in the tool chest but that won’t happen.
ADP has frozen raises in the past in tough times but never cut pay. I’d be more worried about a dividend cut that would rock the stock.
Would not surprise me.