Thread regarding Wells Fargo & Co. layoffs

Wells Fargo to Bolster Expense Accounts for Teams With Black Advisors

https://www.advisorhub.com/wells-fargo-to-bolster-expense-accounts-for-teams-with-black-advisors/

Wells Fargo Advisors will offer an expense account bonus worth as much as $7,500 to those working on teams with at least one African American advisor as part of a round of policy changes aimed at fostering diversity across the firm’s sales force.

The adjustments, which take effect in September and continue until at least 2028, are outlined in a joint proposal by Wells and its African American brokers that was approved by a federal judge in late April. They represent substantial amendments to and an extension of programmatic relief that Wells promised to implement following a $35.5 million settlement in 2017. Wells and the plaintiffs had negotiated the terms of that relief for four years after a 2020 deadline passed.

Under the proposal, Wells brokers can earn a $5,000 expense account bonus for each advisor on a team with an African American member provided that at least 75% of the team’s revenue is tied to shared production codes. The $7,500 allowance will apply to each team member for a one-year period after the formation of the teams that meet the same criteria as above.

The brokerage, which will also maintain a database of advisors and trainees interested in joining teams, said the changes will apply to brokers in the private client group and bank-based advisors.

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| 1859 views | | 15 replies (last July 9, 2024) | Reply
Post ID: @OP+1tnpk0pf

15 replies (most recent on top)

@2ele, in case you missed it - this is a part of the settlement of a race discrimination class action suit on which both parties agreed. On top of that, the whole thing was approved by a federal judge.

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Post ID: @3afx+1tnpk0pf

This is just another business decision by White management where they feel that Black's need assistance to equal other workers. Its very patronizing.

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Post ID: @2ele+1tnpk0pf

This business decision explains so much as to how charlie thinks and his business acumen.

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Post ID: @2dqq+1tnpk0pf

Who cares what color their skin is as long as they are Series 7 & 63 licensed?! IMO the only concern is if the FA is not stateside. (India, etc). Just saying.

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Post ID: @1ipp+1tnpk0pf

This one really brought out the racists

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Post ID: @1jlu+1tnpk0pf

I have worked for years at WFA for several financial advisors. The old saying is that a FA's clients are reflective of the FA. I have seen this over the years. If a FA belongs to a certain culture, the majority of the clients are in that same group. So a black FA would have black clients. That group, with few exceptions, do not yet have the wealth to support black financial advisors. Black parents are not yet passing millions to their children. So until they start to build wealth, there won't be many black FAs, and giving extra expense money won't change that. And fair or not, white people will not invest with a black FA. Maybe that changes one day, but we're not there yet.

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Post ID: @1fxh+1tnpk0pf

So, I guess, 3/5ths for the rest of us huh?

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Post ID: @1sim+1tnpk0pf

I thought affirmative action was over?

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Post ID: @1vag+1tnpk0pf

Mgmt already has metrics their bonus is tied to for hiring, thos is no different. You would think it would be illegal.

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Post ID: @1ujx+1tnpk0pf

I don't see the big deal coming from WFA. There are almost no black advisors but that's really because of where the money is. Old White people want white people managing their money because they relate better. If more black people had money, there would be more black advisors.

This policy probably impacts about 5 people, no need to get grumpy about it.

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Post ID: @ktc+1tnpk0pf

This post, true as it is, will not last by Monday.

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Post ID: @odr+1tnpk0pf

Another version of Pay to Play . Did DEI executives come up with this?

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Post ID: @hvl+1tnpk0pf

This type of race based discrimination policy should be illegal and banned, period!

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Post ID: @cum+1tnpk0pf

This is so unethical.

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Post ID: @grc+1tnpk0pf

Makes perfect sense

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Post ID: @iqb+1tnpk0pf

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