1 / 10

The Toughest News Releases

The Toughest News Releases. Kevin M. Brett J410 May 9, 2013. Why Layoffs?. Insufficient revenue to meet payroll Need to restructure company – Eliminate underperforming businesses Need to eliminate redundancies after acquisitions or mergers Survival. Typical Severance Package.

hedya
Download Presentation

The Toughest News Releases

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. The Toughest News Releases Kevin M. Brett J410 May 9, 2013

  2. Why Layoffs? • Insufficient revenue to meet payroll • Need to restructure company – Eliminate underperforming businesses • Need to eliminate redundancies after acquisitions or mergers • Survival

  3. Typical Severance Package • Three Weeks Pay, Plus One Full-Week for Every Full Year Worked, Capped at 23 Weeks • Outplacement Assistance by Lee Hecht Harrison • COBRA continuation for up to 18 months • Company takes one-time operating expense GAAP charge to earnings for severance • Layoff Letter

  4. Key Audiences (layoff releases) Survivors Impacted employees Customers, Suppliers Media, especially local media Financial and market analysts

  5. Amazon/RIM Merger Redundancies • 88,400 Employees • 16,500 Employees

  6. Nike/UA Redundancies • 44,000 Employees • 5,400 Employees

  7. JWN/EL Redundancies • 61,500 Employees • 38,500 Employees

  8. SBUX/GMCR Redundancies • 160,000 Employees • 5,800 Employees

  9. Writing a Layoffs Release

  10. Layoff Release Check List • Reason for the 10 percent reduction in force • Number of Employees Impacted and Where • Expression of Compassion by CEO • Reaffirmation of business strategy by CEO • Reassurance to Surviving Employees/Customers/Suppliers/Distributors • Size of One-Time Charge: 10 percent of the last quarter SG&A expense for both companies. • NO APOLOGIES

More Related