Stay positive folks. Rumors are just that - rumors. I have heard of nothing certain as of today.
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CG invests for the long term….just not in its people. If you want to know what CG is going to do company wise, then follow Vanguard. Vanguard has a history of not treating employees with li get tenure very well. Set annual raise targets for departments to follow for example. If the budget is 3% and someone gets it, then someone has to get less. CG has been following this lead for years. The best thing about CG? Leaving. Who buys load funds these days anyway.
I was surprised that there was only 300 laid off. Makes me wonder if there is another layoff going to happen. Or they do the secret layoffs, where they do the reviews, cull the ones that are rated below effective, and dismiss them without a severance package.
In the grand theme of things there is no savings to dismiss three hundred persons, and turn around and have to hire another set of persons in a year from now, finding out life balance got worse for associates and they have to much work again.
Orange County 02/24/2023 02/28/2023 Effective date 04/28/2023 The Capital Group Companies Inc. Layoff Permanent 112 people 6455 Irvine Center Drive Irvine CA 92618
Go to: Warn Act CALiFornia
What were the people in the research lib doing all day?
Another round of layoffs in June is not to be dismissed.
The entire Research Library was eliminated.
What are everyone’s thoughts on the possibility of a second round of layoffs?
Capital Group has had a long-standing reputation for keeping associates for over 10 or 20 + years, sometimes a lot more. Management has come to realise it is costing them more and more money to keep people there for that many years as the benefits keep increasing with salaries going up each year. The new stance seems to be to hire and replace the expensive long tenure with younger and cheaper labour. The longer you stay there, the more at risk you become.
Lots of long timers - I’m one of them - clearly shows the position or project in action are less important.
Are these layoffs for non important roles (or) how are they choosing which people to layoff ?
Leadership roles also got impacted. I know of a senior manager and manager from IRV and a senior manager from LAO
What about Canada? What was the impact there?
have any leadership roles been eliminated?
I was laid off from Irvine yesterday. On payroll til 4/28 then a month pay per year of service, plus bonus and mrp. Devastated to say the least. Expected so much more from CG. Lists started circulating last week from Blind showing roles/# of people impacted.
To the person who said -- "Geneva office was among the first to be told they would not be affected."
This is incorrect, I have known at least 4 impacted associates in the Geneva office. All notifications in London and Geneva have been completed.
What was the severance package?
Will there be a second round of layoffs?
Geneva office was among the first to be told they would not be affected.
Layoffs are not complete. They still have San Antonio , Geneva offfices...
There could possibly be another round if market does not get better, look at Capital Group 2009 trend, once in March followed by bigger one in June
do we know which teams got impacted?
Anyone know who was impacted?
Is Capital Group's severance pack really that good? They give a month's salary for every year of service with a cap at 12 months. Besides this, they maybe eligible for prorated bonus amounts. How do some of the other companies compare in this aspect?
Layoffs completed...almost 200 people got impacted today just in Irvine and LA. Question is : will there be a round 2? Scary times for Cap group associates (well, for everyone I guess)
Capital Group went on a hiring frenzy during covid, thinking the covid results for financial services would keep increasing. Wtf? Then realised they had not been that smart, so starting to get rid of the little people. Fund managers at Capital Group used to be smart, but now they are just reckless, and some are not that good at investing money at all, hiding in their multiple portfolio manager system, as they call it. When their supposedly 'convictions' turn out to be wrong, it's the little joe who gets the chop.
What about Europe and Asia?
Management tries to silence the rumors, but it has become the truth.
Only US offices impacted?
300 layoffs globally. Notifications done by March 16th
and so it begins…
The warm notices are updated for CA
https://edd.ca.gov/siteassets/files/jobs_and_training/warn/warn_report.xlsx
78 in la
112 in Irvine
They will announce soon I think.