Thread regarding State Farm Insurance layoffs

Cheap workforce can't fix it

I’m not saying that there aren’t great talented individuals among the cheaper employees, however, generally speaking, the problem is that SF's priority has become a cheap workforce and not a competent one. I guess the leadership thinks that cheap workforce can solve all the problems at SF? I just wonder how long it will take them to realize that going cheap won’t fix anything?

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| 2033 views | | 8 replies (last November 23, 2021) | Reply
Post ID: @OP+1dRuqe7D

8 replies (most recent on top)

Wait till what's happening in society gets to their front door! Scary sh*t!

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Post ID: @6tjs+1dRuqe7D

“Clients do not come first. Employees come first. If you take care of your employees, they will take care of the clients” -Richard Branson

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Post ID: @5xwx+1dRuqe7D

They simply don’t care because the litigations for some suits have been going on for years. Once it’s an exec problem, aka name in a lawsuit. Watch how fast things will change, and terminations of higher ups. We just saw that not too long ago with liability.

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Post ID: @2rpi+1dRuqe7D

@1cri-actually staffing expenses are included in every rate filing-auto and fire. On occasion DOI have question some types of expenses, but never staffing expenses. So your theory is not accurate. To be fair, indemnity expense or loss costs are much larger than administrative or loss adjustment expense. As a rule DOI would favor any insurer hiring more staff.

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Post ID: @1knp+1dRuqe7D

@1cri: premium is raised two ways in Fire: the first is the normal insurance department approved rate increase. The second is a built in inflation index which gives the company more money as home repair costs go up. So, the company can take in Billions more in premium, pay lower employee costs due to turnover, and profit.

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Post ID: @1pkl+1dRuqe7D

The execs simply don't care if a claim is paid properly or work is done correctly. What most people here don't understand is that SF can't increase premiums based on salary to handle claims well and pay what we owe. They can increase premiums based on indemnity dollars paid. So they would prefer we pay more than what is owed due to incompetence or inexperience then raise premiums as opposed to paying for an experienced person to handle the claim and paying what is owed.

Once you understand this, what they have done makes a lot more sense (except maybe to our policyholders who pay the premiums).

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Post ID: @1cri+1dRuqe7D

Seems to be working fine now….

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Post ID: @kid+1dRuqe7D

Everyone expected this when CultureKiller took over as chmn

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Post ID: @fbu+1dRuqe7D

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