Dell staffers head for exit armed with redundo cheques The first wave of Dell folk to volunteer to leap from the privately owned biz with a redundancy parachute, swept over parts of the organisation last week – and by all accounts the numbers exceeded management targets. Or so say our sources close to the company, some of whom are now former Dell people that were only too happy to …
Taken to extremes, you lose all your good staff, and all that's left is the dross who could never get a job anywhere else. Do you really want to retain these when you are trying to save the company?
Best way is to decide on your new structure, fill all the vacancies from your own staff, and then let the rest go. You must give incentives to your retained staff to stop them leaving - costs a bit more, but you don't tear the guts out of your business. Sounds to me like Dell is due for further troubles.
I was in a big company where cross-the-board cuts were being made. I decided the hovering axe was too stressful to endure and found another job. In my exit interview, they blurted out 'you weren't one of the ones we wanted to get rid of'. Well, I didn't feel that love and, from what I heard of the shambles that followed, all the other savvy ones jumped too, ditto feeling no love, and they were left with the drones and the clueless managers who had hired and retained all the drones while losing the ones who did the work.
How can a voluntary redundancy programme exceed targets, especially to the extent that the company might even need to hire in replacements?
Surely if there's a target to get rid of a certain number of people from specified departments or divisions, you ask people to volunteer then inform those who have been "successful". Other are simply not accepted into the redundancy program or their application is rejected. If they still want to leave, then they can, of course. But without the redundancy package. You're not redundant if you are needed.
I'm not saying this is a bad thing on the part of those who want to leave but it seems like a stupid deal for Dell. Surely they have lawyers who oversee these sort of things? After all, they deal with multiple legal jurisdictions so need to tailor things to suit local employment law.
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