The maximum pay increases allocated to managers was cut from 5% to 2.5% with many getting less. Some will even get ZERO. This means with the increases in health insurance premiums, many employees will begin the next year with a net loss in take home pay.
Those employees are probably expected to quit. Chasing unwanted people out is less expensive than laying off, paying severance packages and issuing a WARN notice for a layoff.
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I heard someone else say it best:
L3Harris is no longer an engineering company but has transformed into a value extraction machine for the executives.
Plenty of people are flocking from L3harris due to lack of proper pay and opportunity. For some reason management keeps lying to themselves saying that they can retain people, the worker bees, with their current mindset and the 9-80 work week. Their favorite words are leverage, tools, and toolbox. Let’s be honest, realistic and offer some solutions. Those are empty words that gain nothing. If they took half of the bonus money they pay to upper management and used it to pay salary increases they would retain their employees and have a more satisfied workforce. The workers want enough pay to pay their bills. They don’t see the 9-80 work week as a major benefit. And, no manager deserves a 20 million dollar yearly bonus.
While the company outperformed expectations in the past year and outperformed Wall Street predictions, the salary increases for this year coupled with the increases in health insurance will leave the majority of L3 Harris employees with a cut in pay. And now, the opportunity presents itself for disgruntled whistleblowers to report fraud and waste to the newly formed government agency. This is going to be real sweet.
82Considering the meager merit increase this year, and the fact that promotions come out of that same bucket (effectively eliminating promotions on cycle), they're probably going to see enough people heading out the door to satisfy their stupid LHX next head count reduction
Most likely raises will skew toward the new hires, not only to try to keep them but also because 4% for a new hire is cheaper than 2.5% for a more senior person.
So the boss will say, "Good news! I got you 4% which is well above the average!" And the young kid will say "Four percent? Are you insane?"
Raises are usually mid-March. Managers have already been given their budget and most have already determined the increases for their direct reports.. Many have already threatened to leave here in Clifton if they get 2% but none will leave on their own. They've got no place to go and the company knows it.
Correction: Many departments have NO promotions to give higher amounts to the top 30%
Many departments have promotions to give higher amounts to the top 30%
Anybody who complains about getting a zero increase is going to automatically be given a pip for which they will never recover from.