Thread regarding Chevron Corp. layoffs

The new 1 which we thought we got rid of with the new performance management system

Hope they're not using this to lower raises. I've been low in PSG %CO in the old method and the new method. I was 2+ equivalent in the new method and got a much lower raise than I did earlier when I was "only" just a 2. In the old method, I got two 2s and then a 2+. The first two 2s closed the gap by 2/3 to 100% CO, and the 2+ put me over. In the new method, it would take at least 4 or 5 years of 2+ equivalent to just meet 100% CO if what I experienced holds consistent.

Three things:

1. These are restricted stock units, not options, right?

2. If I am reading this right - this isn't that much money AND it's restricted to only 30% of EEs in each band?

Using the data provided by @3ii below:
23 - $8,720 per year over 3 years (if stock holds up)
24 - $13,433 per year over 3 years (if stock holds up)
25 - $19,342 per year over 3 years (if stock holds up)
26 - $26,640 per year over 3 years (if stock holds up)

3. I feel like attrition is really high at PSG 22 and below, not PSG 23 and above (I have no data to support this, these are just my own observations), so this really just incentivizes people to stay who were already going to stay.

midpoint CO's (100%) * percentage for the band
23 - $26,160
24 - $40,300
25 - $58,025
26 - $79,920

Vested options are your to exercise or not anytime before they expire. Usually ten years.

Stock options are governed by the SEC and IRS, not what Chevron may think. Two caveats to be aware of: "...actively employed on the vesting date..." That makes this a retention plan, and, unless you're getting lots of options, not that valuable to the employee. If you stick around just for these options, it's a very cheap retention plan for Chevron. 2nd is that vested stock options can be exercised up to 90 days after you leave the company (for whatever reason, including termination), again, SEC/IRS rules that Chevron cannot re-write.

"Employees have to be actively employed on the vesting date to receive the payout."

This isn’t really enough to make someone stick around for 3 years if they are on the fence. It probably comes to around $7K per year after tax and that’s assuming that the stock price holds up.

Typically you lose all invested RSU’s if you’re fired for poor performance, breaking policy, etc. If laid off, it’s common to prorate the payout unless they spice up the package and vest all stocks.

In any retirement/layoff/whatever you lose unvested RSUs.

Does anyone know hot RSUs work in a layoff? I assume you will still get them as part of your severance.

Do laid-off employees get this, or you just use the layoff's site as the company employee website? I guess it make sense for the types who come here. all the ones on the chopping block. the lower tier, lol!

They will definitely use this to offset raises. The CIP will be great, despite fatalities, and they’ll give RSUs to employees that can’t be promoted due to the log jam above them in the pyramid scheme.

23 here. Hope they don’t try to use this to offset raises. I clearly remember JJ saying “you want to be low in your PSG” to capitalize on the new PMP. We’ll see. Last 2 PMP’s have had at least 2 EE’s and no different mid year so we’ll see if this comes up in PMP

Ridiculous. Why not just offer to every body in those pay grades? So much for “”one team””

I’ve been a mid range performer but always show up and provide laughs. My problem is I’m still a 21 and even though I brownnose and offer to wash the bosses car, I can’t seem to break into that 22 barrier. If I ever get a chance at 23 LTIP will be expired and some other incentive program will come along.

So they grant the RSU's then can you 2 years and 363 days later?

They’re losing to many post 2008 pension employees to companies that offer stock.

The timing is amazing - announce LTIP, send employee survey, then give details about how LTIP would work and that most won't qualify.
Great way to get higher rating on the employee survey and bonuses for management

I wonder how much they spent on consultants to come up with this plan.

Hunger Games begi s

After a couple years everyone will enjoy golden handcuffs. Clever.

excellent job, management ! this will speed up quitting by 70% of early career employees

"Up to 30% eligible population" each year ... So instead of fighting over peers for a 2+ or 1 in a forced ranking battle royale, now it will be for RSU's.

This is like a worse version of RSUs offered by other companies lol