Death, taxes, DXC job cuts: Three of life's sure bets DXC Technologies is spreading some festive cheer by dangling voluntary redundancy (VR) terms in front of customer support teams, according to a confidential document seen by The Register. Peter Hands, UK and Ireland veep of the “deliver” division confirmed – for the second time in as many months – that DXC was seeking front …
First and foremost, my sympathies to those at risk.
But that comment that DXC need to shrink because of contract losses - surely most of the staff TUPE across to the new contractor when a customer takes their business away?
Which would imply that the job losses are mainly driven by offshoring roles that continue, or sacking a load of staff and expecting their remaining colleagues to pick up the load?
"Which would imply that the job losses are mainly driven by offshoring roles that continue, or sacking a load of staff and expecting their remaining colleagues to pick up the load?"
Yep, many of these job losses are indeed driven by offshoring roles that will continue; the mantra seems to be 'offshore every role that we can'.
"..surely most of the staff TUPE across to the new contractor when a customer takes their business away?"
If moving to a Cloud IaaS/PaaS/SaaS platfom then there may be nowhere to TUPE affected staff in infra/storage/networking/support roles, hence significant redundancies would be expected as those contracts expire.
Depends on the size of the contract and if there is any dedicated resource/headcount. When I was at DXC I was "leveraged" and worked on many different accounts: two of those companies jumped ship to sunnier shores and I had to carry out knowledge transfer to third party ITO companies.
The ex-HPE staff redundancy payments are:
1 weeks salary per year of service between 18 - 21 years of age
2 weeks salary per year of service between 22 - 40 years of age
3 weeks salary per year of service between 41 - 65 years of age
All capped at a max of 12 months salary.
This would show a significant book saving over the next year as long as it was not tied to the revenue generated by the staff member (and how do you measure that in a large organisation?).
So given the appropriate metrics you could achieve big bonuses every year by cutting staffing costs, then cutting infrastructure costs as you "consolidate" offices. At some point you will be last person standing, but with plenty of money in the bank and pension fund and a solid record as a high achiever.
Just another version of an asset stripper.
Expect the smouldering remains to be sold for $1 in about 10 years time.
I had the pleasure of working at an organisation that was supported by CSC/DXC.
To be honest, if DXC had a look at the insane way some of it's contracts are billed, they could retain business by not expecting the ridiculous charges to continue.
If they spent as much time and effort at looking at reviewing contracts they may find some inventive ways to generate profit from existing and potential new orders......
Now of course some of these contracts may be legacy from days of CSC and HPE as seperate entities, but killing head count is alwayes the easiest way to appease the shareholders!!!.....
Is all the good people leave. They take their payoff, and walk immediately into another job - probably on a higher salary, too. The other set who go are those who are close to retirement. They would have gone for free soon anyway, but might have actually shared their decades of knowledge before they left.
You are left with the dross who nobody wants to hire, but have saved a few quid.
Unfortunately, then company performance suffers because the remaining staff are shite, profits plummet even more and you repeat the cycle.
It's almost like if you kept the good people and rewarded them, that the company would do better. But that's crazy talk and I'm not a management consultant.
Is all the good people leave.
Only if the company lets you go.
Many of the 'good' people are still with the company, they asked for VR, but were turned down repeatedly, as the accounts they were on, marked them as critical.
A good chunk of the people accepted for VR, were those the company though they could lose without too much impact, or were cheap to pay off. Anyone critical (or expensive), were usually refused VR unless they could confirm someone else could do their job once they'd gone.
This meant not enough people 'left' under VR, so CR kicked in.
Who went under CR was based on a points system last time, a score based on skills & certifications, annual performance rating, and criticality to the account. Anyone scoring low in two of these areas, was basically out the door.
We are now left with lots of skilled critical people, who want their payoff before leaving, but can't get it, and lots of new (i.e. cheap and inexperienced) people.
It's a strange atmosphere these days!
Happening again, they been pushing to get everyone to update their skills in the new DXC skill system (which is just a rebranded and replatformed old CSC system).
Plus now they are trying to get everyone to complete interim performance reviews.
Of course everyone that us still left, is assuming this is so they can run the profiling again, which scores you based on skills, performance, and account criticality. Happy days :-/
The inventory items (employees)are expected to keep their skill profile uptodate.
But typically the skills list is updated annually (coinciding with the half/end of year review) with some loss of skills or roles.
Also, every few years a switch of tool used to log skills and experience, usually requiring a new round of entering all skills/roles.
Isn't it wonderful that you hear about yet more layoffs from the press and not from your own line management or even a general all-hands email from inhuman resourcing.
And we have some teams which are now down to zero headcount leaving the company unable to fulfil contractual obligations. They've not even been able to get contactors to cover while new suckers are recruited.
Typical nonsense management from Nick Wilson and Co.
As a current DXC employee I can state that morale has never been lower. People are openly criticising the company in official staff meetings and middle managers have absolutely nothing to say in defence of what can only be described as a company with quite possibly the worst CEO in recent times.
for i = 1 to NumberofExecutives {
loop while EmployeeApathy <= 0 {
set(ExecBonus=(guaranteed AND maximum))
encrypt(set(EmployeeBonus = 0))
call(disable.protocol(ethics))
for j = 1 to rnd(NumberofEmployees) {
exec(dump(Employee))
call(html_search('CV','Resume'))
}
on error call(standard.reply('Share holder','Targets not met','Workforce pyramid'))
}
}
DXC once again are a shocking shower of proverbial in the UK. Laughable sales strategy, cutting headcount to achieve cost targets regardless of impact, zero leadership and hundreds of middle managers who couldn't manage their way out of a wet paper bag.
I left recently. My manager said to me, "where are you going and do they have any management roles?", followed by "people are struggling to find another job because having DXC on your CV is toxic".
A truly great opportunity to build a great company. Utterly destroyed through chronic mis-management and incompetence.
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