More layoffs happening today. I don’t know the extent of it but I know of some people that just got let go.
Rumor has it that this will continue weekly until year end.
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Oh the sale is well underway. That sh-t business model is what they hang their hat on.
They are circling the drain. I’m not sure they can get the sale finalized before bankruptcy comes knocking.
The only part of the business that is making any money is on the HMS side which has never been fully incorporated into the Gainwell business model - which hasn't changed in 40+ years. The account teams over sell and under deliver to their clients. They don't actually bring in anyone who knows how to build what they are telling the client they can deliver, until AFTER they have won the bid. By the time engineers/architects and the like get sourced, it's too late. The time lines are unrealistic and the quality of what is delivered is poor causing client abrasion, missed deadlines and ultimately, loss of business. If GW wants to start being successful, they have got to change the way they go about doing business and selling. Start at the top, look for the failures in your process and actually fix it. They won't, they will just keep putting lipstick on the pig until Veritas sells us to the highest bidder.
Like I mentioned previously this reduction will be 45% before it’s over.
I know many refuse to believe that.
My advice is to be smart. Don’t think that you are safe.
Isn’t it obvious? Veritas is in business to make money. No other reason. They don’t care about you or me or any leader at Gainwell. They plan to flip the company. Buy it. Bleed all the cash they can from it. Then sell it for a profit. The easy way to do that is to hire incompetent leaders for cheap, layoff as many as possible, run as lean as they can, reap the reward $$, then sell. Another layer here is that Veritas doesn’t know how to run a company like this. It’s beyond their area of expertise.
Ok, so now curious as well. A post mentioned Gainwell has conducted staff reductions each and every year in it's short existence. The post continues the vibe about Gainwell being a terrible company. Even well run companies prune staff regularly, so is there something more, something more meaty, news wise to be learned here? Veritas promotes it's private equity skill in the space where government and technology meet, and has a credible list of company logos on it's website that attempts to show their success. So why would an apparently successful private equity firm spend $5 billion cash on a new state venture like this and then populate the exec ranks with incompetent people? Not challenging the posts here that mention poor leadership, poor financials, possible bankruptcy, poor client account management..etc, but it reads odd in the context of past Veritas success.....empathy to those who lost jobs...what additional collateral damage risk is there here (e.g. clients) , is any of that worth digging into?
Laying off long term staff and filling positions with contractors - that's basic financial engineering. They're gaming their finances to look good in the short term.
The severance from what I heard is 1 week for every year of service, up to 12 weeks. So if you were a long timer and worked for GWT/DXC or HMS like a lot of us, you are getting screwed. Also, if any GWT recruiters are reading these, maybe layoff promoting job openings on LinkedIn for a bit. If we really did just layoff 20% of the entire workforce, that just seems in really poor taste. I know depts. that lost everyone. Also, it will be interesting to see what Mr. Connolly has to say at the Operations Town Hall on 11/1. Will the elephant in the room ever be addressed?
Gainwell can’t manage any account. So I’m not surprised they can’t manage layoffs either. They can’t even plan that right. They layoff experienced people only to hire inexperienced people or contractors. The leaders are inept. They simply cannot run this company.
That bankruptcy and sale can’t happen fast enough…
One of my team members was laid off 10/23 and an hour later I participated in an interview to bring a contract worker on another account over to the team to backfill a different position on the team due to a team member moving to another position within the company. The irony of that was a bit much to start the week off.
Regarding severance and 1 week of pay for each year of service, does that start from when Gainwell was spun off from DXC (Jan 2019) or include it's predecessors like service with DXC, Molina, etc.?
If you thought “it won’t happen to me” then your closed mindedness put you in this situation. It’s not a lack of compassion. It’s a reality check.
There’s nothing weird about it. Gainwell does not communicate with employees about layoffs either before or after. They never have. However they have been going on since Gainwell was created three years ago. I think the poster is saying that you have to look around and that you have to have seen this movie before. It played out the same way last year. Layoffs in October, November, and December. Complaints from the troops about being blindsided. And about the lack of compassion by the leaders laying off right around the holidays.
This is who Gainwell is. This is their reputation. We all joined a terrible company.
re: blindsided /surprised - if the person's timeline above begins with the origination of Gainwell (9/2020) - "looking around" [while you work] yes is certainly a technique in a private equity situation, no disagreement there. Based upon what's out there on the internet, the previous owners of State and Local Government (HPE and DXC) were public companies, so there was a burden of financial disclosure every quarter. Employees who might feel guilty of being blindsided or surprised, ask yourself -- do you recall any internal disclosures about financial struggles on company presentations by Gainwell execs? Private equity always makes money, this situation is weird.
@1hmf+1peqFLbj
Have some compassion.
I was also affected by the WFR (Work Force Reduction) initiative yesterday afternoon and also agree that folks that are selected to be terminated are rarely the one's that should be.
I'm picking myself up and moving on like the pro that I am.
- JB
Blind sided?
Really?
The leadership didn’t just start being bad. They have always been cr-p.
Layoffs have been happening on and off since Gainwell became a company.
Poor delivery on accounts or no delivery has always been.
So how were you blind sided?
I’m in amazement at how employees are acting surprised by this. Don’t you look around a little bit at your job? Chances are the account you work on is poorly performing and Gainwell isn’t delivering. And hasn’t been delivering. Why would you think that was a normal function?
I was one of them. I was blind sided by this.
The CEO and other top execs should take a pay cut or be removed. This is totally ridiculous and the worst company I ever worked for.
Management thinks they know how to manage. They don't!!
My manager was a micro-manager and I have been in IT my whole life. I think I know how to run projects.
The work force reduction is enterprise wide.
It will continue by moving from department to department and last for several weeks through the end of the year. Some cuts will be severe, 30% or greater.
All employees should be prepared.
I was part of the "workforce reduction" on 10/23/23. The severance is one week of pay for every year of service.
What specific areas were hit? Or was it across the board?
I was also let go as part of RIF. I have been with the company for seven months. I know another two from the same account. Yes, severance is provided.
Does anyone know the RIF percentage?
There were more layoffs this morning.
Not sure on an exact number.
Does anyone know what the severance package looks like
More layoffs are coming.
They are going to continue through the end of the year.
It was brutal today. We definitely can't endure cuts of this magnitude again, and still continue as a viable business.
I think we're done for :-/
I was laid off this morning. I heard the cuts were deep. I’m not surprised
Anyone know the number of people that got let go in a market that's not really flush with jobs at the moment and before the holidays. Hopefully they got severance.
One of the business development folks we work with was laid off this morning. The cash flow has and continues to be terrible. I am surprised the paychecks keep coming.
Good luck and I hope you land on your feet quickly. Have confidence. These state accounts are really tough places to work and you have built a lot of good job skills there.
What were the areas the RIF occurred? Was it account specific? Just curious.
@nvm+1peqFLb sorry to know about being let go. Just curious to know how the layoff came about - was it through a phone call? Email? And is severance still a thing?
20% reduction is just the beginning.
It’s going to be 20% more than that.
Heads are going to roll. The writing is on the wall. The company is doing terrible. It should be obvious to everyone that chooses to look around a little bit.
I just got laid off too. Workforce reductions but they need more people!!!
The people who SHOULD be shown the door, rarely are.
Some of my teammates got let go this morning. I heard each team on the implementation practice had a 20% layoff.
"Rumor has it that this will continue weekly until year end" -- Really!? Death by a thousand cuts.
This is the kind of thing that companies do when they've struck a deal to be acquired, and the acquiring company stipulates a big workforce reduction as a condition of the deal.
Yes, I can confirm, I just got let go. It was Reduction in Force (RIF) not performance based.