AM I NEXT? NO LOVE AT ADP

Am I Next? ADP layoffs in Owings Mills, Maryland.

Roseland, New Jersey-based ADP, one of the largest non-bank payroll and human resource services provider, has announced that they will be closing their Owings Mills, Maryland office and laying of 13 employees commencing on September 27, 2019. According to a company spokesperson, “We continuously monitor our operations for optimization opportunities. Any actions we may take from time to time are part of our usual operations to manage the business strategically. We are very appreciative of the contributions of this team and have support systems in place to help with their transition. We have also arranged to accommodate work from home as appropriate.”

According to a statement accompanying ADP’s fourth quarter and fiscal 2019 results, “ADP remains committed to reinvesting in its product, distribution, and service to drive sustainable growth,” said Kathleen Winters, Chief Financial Officer, ADP. “And we are moving forward with our transformation initiatives as we look to both simplify the organization and enhance our competitive positioning. The company also noted that they completed a voluntary early retirement program with an annualized recurring cost saving of $150 million. Having completed our hiring needs in fiscal 2018, we exited the remainder of our previously identified 68 subscale service locations for an annualized recurring cost saving of approximately $60 million.”

“First, during the fourth quarter of fiscal '19, we recorded a severance charge of approximately $26 million related to a broad-based workforce optimization effort focused on spans of control and management layers throughout the organization. Second, this year we're accelerating our procurement transformation efforts through a number of initiatives aimed at third-party vendors and internal expense management. These two initiatives combined are expected to generate about $100 million of savings in fiscal 2020.”

It is believed that the company is relying on additional cloud-based self-service automation and the desire to reduce expenses by transitioning some employees to a “work at home” model. This is not likely to be the only location affected by ADP’s business plan.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life, or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT TRAMONTINA

Am I Next? Tramontina Cookware moving manufacturing to Brazil.

Sugar Land, Texas-based Tramontina, an aluminum cookware manufacturer and subsidiary of Rio Grande do Sul, Brazil-based company, has decided to cease manufacturing and assembly in the United States and consolidate production in the company’s 10 facilities in Brazil. The decision was driven by financial considerations and the rising cost of materials, labor, and transportation.

As a consequence of this decision, 108 employees assembly employees will be laid off in Sugar Land, Texas and is shuttering its manufacturing facility in Manitowoc, Wisconsin which will result in the loss of another 145 jobs. The layoffs in Wisconsin will begin around August 31, 2019 and those in Sugar Land beginning in September, 2019.

A company spokesman noted, “This is an extremely difficult announcement. Due to the production cost increases over several years, our shareholders decided to cease manufacturing operations at our U.S. facility as a strategic step towards consolidating our production within the group’s existing factories in Brazil, which allows us to focus more on product development, sales and logistics in the U.S.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life, or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE -- LAYOFFS AT BLUE CROSS AND BLUE SHIELD OF MINNESOTA

Am I Next? Blue Cross and Blue Shield of Minnesota cost reduction layoffs.

Eagan, Minnesota-based Blue Cross and Blue Shield of Minnesota has announced a reduction in force that will see 60 employees laid off from its Egan headquarters and another 40 employees from its Iron Range communities of Aurora and Virgina, Minnesota.

A company spokesperson noted, that the layoffs “are consistent with the normal course of business administration adjustments that take place on an ongoing basis.”

“As our industry continues to face new challenges and opportunities, Blue Cross and Blue Shield of Minnesota is on a journey to transform health care and deliver quality outcomes at the lowest cost to provide a differentiated experience for our members. Ensuring we have the right capabilities and organizational design in one of the first critical steps we are taking to better enable future innovation and growth. By centralizing resources and staffing levels around key strategic priorities, Blue Cross is well-positioned to deliver solutions that can generate the best health experiences for our nearly three million members.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life, or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere ... are you now wondering, Am I Next?