Bank of America made the decision to freeze its pension plan back in 2011 in order to cut costs. This begs the question, what will they do in 2020 to protect their dividend? Fortune 500 companies have been scrambling to protect their dividends and keep their shareholders happy. The results have been generally negative for
Month: July 2020
As discussed in our last ExxonMobil PIP article, ExxonMobil has positioned itself to potentially layoff employees through a “performance improvement plan” or PIP. A PIP is essentially a severance offer to leave the company, although an ExxonMobil spokesperson stated that employees who receive a PIP have the opportunity to improve their performance and keep their
Caterpillar decided to freeze its pension plan back in 2010 in order to cut costs. This begs the question, what will Caterpillar do to save their dividend in 2020? Fortune 500 companies have been scrambling to protect their dividends and keep their shareholders happy. The results have been generally negative for workers at those companies.
Earlier today Forbes & Business Insider confirmed the rumors which had been circulating within ExxonMobil circles for the past few months. It appears ExxonMobil, in an attempt to “cut more workers without using traditional layoffs” (Jones), has adjusted its performance evaluations in order to justify more job cuts. According to Forbes, “Exxon categorizes its employees based on their performance
There has been a consistent economic trend which shows that when a recession hits corporations will decrease or suspend benefits. We witnessed this in the 2001 recession when General Motors, Charles Schwab, Goodyear Tire & Rubber, & Ford all decreased or suspended their company match programs. The same happened in 2008, with Forbes reporting that
Pacific Gas & Electric (PG&E) was struggling financially well before the coronavirus took its toll on the American economy. According to the New York Times, PG&E emerged from bankruptcy in late June after putting $5.4 billion and 22.19% of its stock into a trust for victims of wildfires. This of course is a result of
We’ve seen over and over again in times of recession corporations will decrease or suspend benefits. According to CNBC, 95% of companies offer a company match or some alternate contribution program. However in that same article they stated, “Don’t be surprised if your employer pauses its contributions to your 401(k) plan during the U.S. economic