Thread regarding Wells Fargo & Co. layoffs

Why the relentless push to offshore jobs? Some answers...

https://www.xe.com/currencycharts/?from=USD&to=INR&view=5Y

The higher that goes on the chart on the right?

The cheaper indian labor is for a US corporation.

India in particular is experiencing currency collapse and this does NOT work in your favor.

Its over 30% cheaper to pay someone in india than it was 5 years ago. This means that you either need to be 30% more productive or bring in 30% more in revenue, else the bank is losing out on the labor triage (they are taking a loss by keeping you).

You can NEVER outrun currency devaluation - the differentials are just too great, the opportunity for cost savings are MASSIVE, and the executives are incentivized to make stock go up by ANY means.

Charlie chose specifically to be paid if the stock goes up.

"Show me the incentive, I will show you the outcome" -- C. Munger

If getting rid of 80000 employees means his options vest in the money? Its a no brainer what he will choose to do.

And there are zero US labor laws to stop him.

It also means that your career is dead at this bank - stop working so hard, stop worrying, re-skill into something that cannot so easily be off-shored and just wait for your severance package.


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| 11 views | | 9 replies (last 23 days ago) | Reply
Post ID: @OP+1krwp6ptc

9 replies (most recent on top)

Dearest Uncle Santan Klaus said a long time ago that Americans’ standard of living was too high comparing to other nations and something would be done about it. And he is one of his many disciples and just does his part. Money is sweet, but this, this is the icing on the cake — and much sweeter at that.

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Post ID: @gs+1krwp6ptc

is this breaking news?

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Post ID: @d4+1krwp6ptc

Facebook boomer copypasta economics

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Post ID: @cz+1krwp6ptc

The word is arbitrage - triage is what happens at a hospital.

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Post ID: @ct+1krwp6ptc

They're just cheaper regardless of "currency collapse", same as any other third world country. The weirdly smug ignorant analysis is besides the point.

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Post ID: @cp+1krwp6ptc

Once you get your severance and are looking for your next role, try to find a union job that helps prevent this kind of thing. Can let these CEO degenerates have all the power in your work life.

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Post ID: @ca+1krwp6ptc

Outsourcing has been going on for 50 years.

It's almost as though most of the rest of the world is poorer than the US and willing to work harder for lower wages.

Thankfully we have minimum wage laws to accelerate the adoption of machines and AI.

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Post ID: @c5+1krwp6ptc

The last part.

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Post ID: @bh+1krwp6ptc

Two words: "Shareholder value"

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Post ID: @as+1krwp6ptc

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