My understanding of the PTO events

TLDR: HCSC leadership strategically planned for employees to use up their PTO in 2024 to minimize carryover into 2025, prioritizing company PTO obligations over employee well-being during potential layoffs.

In November 2023, an ordinance was passed and slated to take effect on December 31, 2023. HCSC government affairs staff were likely aware of this ordinance well in advance.

HCSC began planning to comply.

It was known by leadership that Cigna would be joining HCSC and that layoffs would be necessary due to redundant staff, as part of an M&A deal.

In 2023, leadership decided to change PTO rules to minimize the company's PTO obligations in 2025, when layoffs would be required.

In late 2023, the ordinance was postponed until July 1, 2024.

Upon learning of Chicago's decision to delay the ordinance, HCSC leadership opted not to inform employees about the PTO shift in 2023. Had employees known about the shift, they might not have used up their sick days and PTO in 2024.

On July 1, 2024, after most employees had already used their sick days, we were informed about the PTO change.

Ethical?

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Remember back in 2017 when there was a layoff but a lot of employee left so there weren’t a layoff. I think they trying to pull the same tactics

Poor employees that actual make the administrators look good are always last to know

I think a RIF is coming, too. They have already updated the PTO piece on FYI blue and have provided no further communication to us so it is a done deal.

I am speculating that they are hoping people leave through attrition. If that doesn’t work, they will probably make another change that negatively impact employees so more will leave. And on and on…

Anything to get out of paying severance, right? Especially when it is more $$$ in certain pockets.

Cigna and HCSC value knowledge among their employees, so we need a blend of both companies. In such scenarios, redundancies may lead to evaluating positions where there are more employees than required workload, such as having 100 employees for 80 positions. During decisions about retention, factors like overall cost to the company are taken into account, albeit termed differently. If 30 employees are under consideration, those with higher costs may be more vulnerable. Companies may also include younger employees to diversify the redundant pool.

But why keep a bunch of Cigna employees and not HCSC? This is a legitimate question with probably a simple answer but I don’t get it.

They can RIF me as long as I get my bonus and severance I don’t care anymore

This is 100% speculation. But it is based on history. I'm expecting a fairly large RIF in late 2024/early 2025 accompanying the Cigna acquisition. There will be redundancies, and they aren't going to keep more people than the minimum they need. I'm betting on a smaller, mainly management level RIF shortly before Christmas. And then a larger one of non management staff in Q1 of 2025.

Like I said, its speculation, no inside info. But I've seen these PTO reductions a few times over the years and this is the formula that usually follows.

🎯

It is a dirty game. They could have said something months ago to make people aware, especially for those of us who live in Chicago and heard rumblings about the ordinance.

I think the last mass layoff was in December of 2019/2020, where they had HR people standing out in the hallways and plucking people out while they came in to work. Seems they are preparing for something similar, but that is just pure speculation at this point.

Thread regarding HCSC (Health Care Service Corporation) layoffs

My understanding of the PTO events

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