There’s been a lot of snarky posts indicating that the sale of Oxychem to Berkshire Hathaway is going to lead to a lot of people not having any work to do resulting in layoffs. I don’t see this happening. Berkshire Hathaway is well known for not having shared services arrangements inside the conglomerate. Each company operates as a separate unit with its own HR, Treasury, IT, etc. I see the need for a lot of support staff from Greenway to go to OxyChem as a part of the acquisition. Thoughts?
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@qz That’s pretty wishful thinking there boss. Do you really think BH is going to put staff in a new office building in Houston instead of Dallas so that they don’t have to deal with relocating? Yeah, it cost money, but remember that big pile of cash that you talk about.
By the way why is Oxychem in Dallas? It makes no sense except maybe because Diamond Shamrock used to be there.
Actually, those going to BH might be better off. BH is getting office space In Houston, so many will not have to move to Dallas unless they want. But the biggest positive is BH is sitting on 300 billion in cash. Say it out loud 300 billion dollars in cash. Just an unreal amount of money to have available. The rest of us in oil and gas could only be so lucky to go under BH like OcyChem is.
You are so right. There are many people involved in support roles of OxyChem at the corporate level. It is not hundreds of people who are affected but might be a few dozen or so. I would contend that as long as there is one person who is impacted by this sale it is enough for us to be concerned about as human beings. This is a traumatic event for people who are not in retirement mode.
@nr IT, treasury, tax, risk management, litigation lawyers. More than a couple.
This topic is largely a waste of time since we are talking about a couple folks from O&G which may get impacted with a need to move to Chemicals. OxyChem has its own HR, has its own accounting, doesn’t need additional engineers. So what are we really talking about? A couple IT folks will probably be needed. Chemicals previously had a larger IT department but they moved to Houston pre covid. Might be an opportunity to move some of those folks back. Treasury is needed. But again, we are talking about a handful of folks. Not anything large scale.
The severance plan says that you don’t get any severance if you’re offered a job by a company that buys part of Oxy.
There are several reasons why you are incorrect, not the least of which is BH purchased OCC, not OCC and necessary employees of OPC. That’s not how these subsidiary sells normally go. BUT, there is one reason why you might be right, and that is BH owns a huge part of OPC, and if he wants it, he might get it.
Given that this would involve a lot of issues that others have already raised, it would also involve moving to Dallas. I’m sure many employees would not want to go. So are employees transferred because OCC needs them and OPC doesn’t? What is one is true but not the other? I don’t think it is as easy as moving a coin from your left hand to your right. Some employees will lose their jobs.
Look up the layoff package. It is not that lucrative. Severance for 10 years is like 6 1/2 months and includes the 60 day WARN notice. It is right there on the Internet to see. Just type it in a browser.
Maybe. Corporate or Oil and Gas staff supporting OxyChem would be crazy to go work for OxyChem if given a choice. Once you accept that job you would likely give up the lucrative package Oxy would offer in 2026 just before the big lay-off that will hit Greenway.