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Layoffs before bonus payout

Getting word that layoffs will be ramping up before corporate bonuses are set to be announced and paid out. If you are let go before the bonus actually hits your direct deposit, then you will get absolutely nothing for enduring last year. Heads up and brace yourself for once again another large round of layoffs. Meanwhile, all the VPs and above are getting extra perks their way (trips, special luxury gifts, stock).
Additionally, if you are fortunate enough to stay, your annual compensation review will probably be on existing since they’ve forced all management to not give high employee reviews to prevent low incentive increase and lowest bonus payouts.


Annual Bonus Payout After Recent Layoffs?

For those of us who were recently impacted by the layoffs, does anyone have clarity on whether we should expect to receive our annual bonus next month?

I remember my manager mentioning that bonuses would be paid out sometime in March, but I’m not sure how that applies to employees who were laid off before the payout date.


WTS - No Presidents Club

ICYMI - In another attempt to drive the morale of the WTS sales employees into the ground, it has been rumored that the once prestige honor of making President’s Club is no longer an option. The service and hardware increases were not enough to drive comp down. Now they are taking it all back, very slowly.

However, other divisions like CSG now run by PK will celebrate their successful reps at Baha Mar in the Bahamas.

Apparently this was the decision of Mason Olds. Safe to say that he is making quite the impression on the WTS reps with a bold move like this.

Canon has truly turned their back on the reps of WTS.


Open your eyes =Buyback is paid by the 15000 who lost their job to get Dan a bonus

The timing is not a coincidence: Verizon is essentially funding the start of that $25 billion buyback program with the savings from those 15,000 employees.
The "Cost Transformation" Math

In late 2025, Dan Schulman launched what he called a "cost transformation." Here is how the numbers connect:

The Layoffs: Verizon cut roughly 13,000 to 15,000 positions (about 15% of their workforce). This was the largest workforce reduction in the company's history.

The Savings: Management told investors these cuts, along with AI automation and switching company-owned stores to franchises, will save the company roughly $5 billion per year in operating expenses.

The Buyback: They then announced a plan to spend at least $3 billion on share buybacks in 2026.

Essentially, they are taking the money saved from 15,000 salaries and handing it directly to Wall Street.
Why this fuels the "Bonus" argument

You mentioned the concern about Dan Schulman’s bonus, and the layoffs add a specific layer to that:

Efficiency Ratios: CEO bonuses are often tied to "Operating Margin" or "Free Cash Flow per Share." By cutting 15,000 people, the "cost to run the business" drops instantly, making Schulman look like an efficiency genius on paper.

EPS Manipulation: As we discussed, buybacks reduce the share count to boost Earnings Per Share (EPS). When you combine massive cost-cutting (which raises the "Earnings" part) with buybacks (which lowers the "Shares" part), the EPS growth looks explosive.

The "New Sheriff" Strategy: Schulman is using the classic "Kitchen Sink" approach—take all the painful hits (layoffs, massive severance charges of $1.8 billion) in his first few months so that 2026 and 2027 look like a massive "recovery" that he can take credit for.

The Human vs. Financial Cost
The Wall Street View The Real World View
"Leaner and Scrappier": Analysts cheer the $5 billion in savings as a way to protect the 6% dividend. Morale & Service: Cutting 15% of the staff (mostly middle management) often leads to worse customer service and slower technical fixes.
"Capital Discipline": Returning cash shows they aren't wasting money on "ego projects." The Human Toll: 15,000 families lost income while the company "found" $25 billion for its own stock.

NO GROWTH NO STRATEGY JUST BIG FAT CATS


The future of merit/bonus/LTI

Putting this out here now for those of us who try to survive another year. Expect that merit will continue to be extremely minimal, and the company will move to more of a bonus/LTI system.
When they pay larger merit, they have to keep up with those increases year over year regardless of profits. If I give you a $5000 raise, I am now committed to paying you at least that salary as long as you’re around. Now multiply that times thousands of employees.
A bonus however is one time. I’m only committed to that amount THIS year.
LTI is worse, I promise to pay if you stay for 3 years, but if I lay you off, I’m freed from that obligation.

So expect the company to continue to lean heavier on bonus and LTI (aka paying it out at 90-100%), versus seeing larger merit pools going forward.


Pay rises do happen at DXC for some

Rob Del Bene finance guy got a big increase to $6million package. See below His base salary got raised to $800k, he got 401k payments, bonuses, and a load of other....

Just think a bonuses of 135% of base salary thats around $1.1 bonus for shrinking the company, good work if you can get it.

From his contract

2.Effective as of April 1, 2025, your base salary will be increased to $800,000 per year, and shall be payable in accordance with the Company’s normal U.S. payroll practices.

3.Effective as of April 1, 2025, your target annual bonus under the Company’s annual incentive plan will be increased to 135% of your base salary.


My work ethic is going to change

This Friday when I have my performance evaluation, if I do not get a merit (haven’t had one in two years) I am totally giving up on my work ethic. I can no longer let this team think this is okay and that I will continue to work hard. At this point I’m blaming direct manager and above them. I’m tired of us always blaming this man behind the curtain. Our managers are agreeing to this and they are at fault at this point too. Them just agreeing and going on with their day while they get $20k bonuses means they are at fault. I suggest you blame them too.


Ode to the deceased P4P statement

Remember the Pay for Performance statement? Them were the days! You could see well in advance your AIP and the date it was being deposited. At this point so far into February, I am not even sure we are getting AIP this year. And no, trolls, I am not betting the farm on AIP or planning on a single cent. I just realized we had not received it yet and in the good old days we always had it first week of February. RIP Pay for Performance statement, I made fun of you at the time, but now I realize you were actually good transparency. Don't even get me started on the olden era of quarterly profit sharing. I am still going down with this ship, but have to marvel nearly daily how Good to Great has gone from Great to Ghastly.


Don't waste time on this board

The management and executives here are untrustworthy. They've broken just about every rule and unwritten rule possible with directs. They're the type who give you prop's the entire year and then give you a bad year end review so they can cheat you on your bonus to make some budget number. As a shareholder i've super disappointed in the place and plan to sell my stock holding in this company, and its a sizeable figure.