There was a lot discussed during an EY Americas all-hands webcast this morning, including updates on layoffs and permanent and temporary cost-cutting measures. So, let’s get right to it.
1. No layoffs through the end of June: Back in late March, EY US Chair Kelly Grier said keeping all EYers employed during the COVID-19 pandemic was the firm’s No. 1 priority. Today she said there would be no layoffs through the end of EY’s 2020 fiscal year, the last day of which is June 30. But come New Year’s Day in EYland, there could be performance-based layoffs, as the firm has done in the past.
A source told us:
Communication was performance-based layoffs can begin July 1.
2. Senior manager promotion bonuses are no more: This is a permanent change, according to our source. The senior manager promotion bonus had been $8,000.
[Kelly] said something about per market research we were an anomaly giving SM promo bonus. Gotta love EY, always following the crowd and never leading.
3. Manager promotion bonus lowered to $5,000: This is also a permanent change, we were told. The manager promotion bonus had been $6,500.
4. PPEDD promotions delayed: For this year only, promotions for partners, principals, executive directors, and directors will be pushed back until Oct. 1.
5. Midyear promotions delayed until June 1: Just for this year. These promotions are usually doled out in April/May.
No word yet on raises, from what we’ve been told.
All these moves are on top of EY last month nixing performance-based bonuses in FY 2020. In addition, partners are reportedly taking deferred or lower distributions and the firm’s summer internship program is going virtual this year.
Did this latest webcast make EYers feel better about things or more anxious? Let us know in the comments or feel free to reach out to us using the contact info below.