The objective of the re-organization, triggered by an unprecedented decline in the global construction equipment market, is to streamline internal operations and reinforce product architectures while significantly reducing the costs of managing brand networks and building brand value.CNH's full release is here, but don't expect it to spell out how many jobs the "new structure," "headcount" reduction and "consolidating" involve.
Update, 7/22: CNH reported a second-quarter net loss of $67 million, compared with net income of $347 million a year earlier, as sales fell 32%. By year's end, CNH said in a statement issued today, it expects to have reduced staff by 10% to 12%. Through the second quarter, it has cut by 7%.
I'm no Harvard grad, but does that mean layoffs????????
ReplyDeleteOf course it does. CNH offered an earlier retirement program but they did not get as many people they were looking for to take it, so layoffs will be the next move. This company has never been good at maintaining correct staffing levels. The minute things improve, they load up the headcount - then they are forced to layoff when things get bad. The problem is the people they bring in have no clue about the indusrty, so it takes 3-4years to train them to get an understanding - and then many of them leave the company on their own anyways. There are very few within the organization that really understand the Agricultural world - the CE world is a little less complex.
ReplyDeletePete and Dustin - I said that at 1:38 PM yesterday. that's the only way they know how to cut costs. Maybe our executives should stop taking weekly trips all over the world in 1st class. Maybe when Marchionne comes to Racine - they don't have cases of wine shipped from Europe to Racine or have meals catered from Chicago. Maybe someone should also control the excutives travel expenses and eliminate the $100 bottles of wine, gourmet meals and exclusive suites when traveling. They certainly know how to cut expenses at everyone elses expense except their own. The employees are sick of it! And as a side note maybe when the Italians come to Racine they can abide by the no smoking regulations in all the CNH buildings in Racine.
ReplyDeleteDream on. The execs have no interest in the worker or Racine or anything except the bottom line. It has always been this way and always will be. All companies are the same and are heartless by their nature. If they profess to being caring it's a lie for sales propaganda. Take "Johnson a family company" it's misleading in that most people will think that they are focused on the family not that they are merely owned by a family.
ReplyDeleteAnon 1:29 - No one is like Marchionne. He cares about no one but himself. He does not even stand behind his executive management. He berates the staff anytime he can. He also thinks he can run a North American market like Western Europe. In addition he has staff that should be removed like Boyanovski, Baker, Walker and Koetz. We are all keeping our fingers crossed.
ReplyDeleteI feel for my friends still working at CNH - good luck over the next few weeks!
ReplyDeleteWhat has become of that offer to sell CNH to another company? I don't suppose it could get much worse than being owned by Fiat. The impression I had when working there was that Fiat really didn't give 2 cents for CNH. We were just along for the ride.
Catering from Chicago? Ridiculous! There are plenty of places in Racine they could have given back to. I worked in a global mining company in Milwaukee and beleive it or not they use Jimmy John's. Marty's Pizza, and some others when execs flew in from arond the world. Some of these executives are so out of touch with the way people live that make's thier sucess possible.
ReplyDeletei feel for the cnh staff also. i was a temp there and won my freedom. i did my job too well(can't have that).
ReplyDeletehere is a nice story.....when my wife and i spent our wedding anniv at the lochnair before it closed we sat with a young italian woman with a laptop crunching numbers. she said she was over from italy. she said fiat was a dynamic company, giving to the community and giving to the employees. one example was in house daycare.
anyone seen in house daycare here?
cnh is just another commodity for fiat corporate and they will cut it down and then sell it outright.
one of the big problems at cnh is the continued old boy network of management. how can a tractor plant manager manage the global logistics?(okay that was a while ago and he retired).
how can you have a tractor plant manager running the national logistics when he cannot spell logistics? nevermind he is doing it with temps who have temped for over 2 years. soon all of the cnh employee worker bees will be temps. no insurance saves money.
ya know when i was an implant back in the 90's i told everyone in the dept that the new holland merger was a buyout. everyone said i was wrong and how could i say such a thing. none of them are longer there. funny how wrong i was.
KRM
ReplyDeleteFirst thing Thursday call CHH and get them to tell home many jobs they have to fill if only KRM was here. Next call Twin Disk
The executive staff is afraid of Marchionne - therefore they think they have to be ass hxxxx just like him. Most people who work here are miserable. It's unfortunate because it has not always been this way. We use to come to work, work hard, but have fun. Now it's work hard and be miserable. Many people are looking for a way out on their own terms.
ReplyDeleteWe have alot of friends at the Lebanon Depot and the same is true there. They used to come party on the weekend and say I love my job. Now it is I hate my job. Huh, the cat logistics leaving and the cnh sargents that now are in, control there life. Please for our sake mellow out.
ReplyDeleteIf the truth be known (and this is from the inside upper management level), CNH has been Fiat's cash cow for years. Fiat's management is so bad that virtually everything they touch goes to sh*t. CNH is the only thing keeping them afloat. Now, with the recent 35% investment in the welfare car company we call Chrysler, they will probably cash out on CNH in hopes that their Chrysler investment will keep them afloat. So, watch for CNH to go down the tubes (if no one buys it) and then watch Chrysler die a horrible death unless savior Obama pumps more tax dollars into it.
ReplyDeleteOh! Grammar lesson:
There = a place or position (as in over there)
Their = possessive (as in their house)
They're = contraction (as in they are)
To Firefly: Capital letters are not options.
It appears that the majority of the people who blog on this site are products of the Racine public school system.
When we finally dethrone the oligarchy and its Ivy League lackeys, we won't have to worry about CNH (Crass Noxious Honchos) and the rest of the corporate cruds responsible for our misery. CNH is over here exploiting our salary serfs and wage slaves because it can't pull too many pranks on the smart workers in Western Europe. Unlike our brainwashed drudges, most European toilers know that the corporate pigs are the enemies of humanity. The savvy rank-and-file Western Europeans elect officials who'll protect them from the plutocratic porkers. By contrast, we still fall for fairy fibs and dream about being millionaires. Since we think that we'll get into the winner's circle someday, we don't pass laws to rein in the rich. No Western or Central European worker would be as dumb as we are---they know what capitalism really is: the liberty of the poor to strive and starve mingled with the license of the rich to oppress everyone in their path!
ReplyDeleteDump Baker, Walker and Koetz.
ReplyDeleteAnon 3:30, your argument is at odds with itself. You state, "the liberty of the poor to strive," but to strive for what? To get poorer? I think not. Everyone in this country strives to climb the financial ladder toward financial freedom. If you put us all down for that, then find some nice little dictatorship to move to so YOU can be financially repressed, but let the rest of us pursue the American Capitalistic dream of financial freedom.
ReplyDeleteI do not disagree that corporations (regardless of size) stive for profit. That is their nature, intent and purpose. I agree that the greedy fat cats that exploit the workers need to be monitored, but not every business is of that ideology. I have worked for a major corporation that placed employees above profit. It was a refreshing change from most other companies I've worked for. Also, we have elected officals in this country to pass laws and keep these abusive corporations in line. In fact, our laws have caught up with their abuses to the point that the unions are no longer needed to protect the workers. In fact, as GM (Government Motors) has proved, the unions are now in bed with the government.
Hey you CE people, when do you start reappying for your jobs?
ReplyDeleteI love our CE group every time they reorganize, they just reshuffle the same people. When is Marchionne going to figure this out? And I swear Jim M. has nine lives.
ReplyDeleteBetter get Jody Harding on your list of layoffs. Do you want someone running their campaigns on CNH time?
ReplyDelete