Unlike previous downsizing based on HR rules and employee performance this event has an ugly undertone. Take a breath be honest and look at who's being let go. Class action anyone?
6 replies (most recent on top)
Ford provided the same demographic sheet, but it was only for the employee's work group, only 9 people. 2 people over 50 - 1 let go. Age discrimination? The sample size provided on the sheet is of no value.
It is more about “total compensation” than salary. Those who have the Ford pension are more of a target than those with a higher base pay and no pension. It is very common for the younger more newly hired to have a higher salary than long term employees. The Ford merit raises never keep up with inflation. The only way to get a decent salary bump is to leave and then come back later. Representation from work group. Those with 17 or more years experience have the Ford pension.
1 year Ford -68k.
5 year Ford - 101k
8 year Ford -129k
9 year Ford - 132k
19 year Ford - 103k
25 year Ford - 92k
28 year Ford - 94k
32 year Ford - 117k
So “total compensation” is a proxy for age. In a decade it won’t be as none of the remaining employees will have a pension.
As to GM, everything including that sheet was to demonstrate technical compliance and to avoid being sued successfully for age discrimination, which is obviously not the same as actually being innocent of it.
At GM they gave a sheet showing the number of those laid off and the age group, so you could see it wasn't age discrimination. (Whether it actually was was up to debate)
In many cases when you sign a severance agreement you waive your right to sue the company.
Here's some interesting reading:
https://sanfordheisler.com/severance-agreement-age-discrimination-suit/
You can't discriminate on age, but you can discriminate on salary. Ain't nothing in the Civil Rights Act about that.