• 29 Jan 2009 at 9:36 AM

Severance Watch ’09: BAC

At this point it pretty much looks like it’d be preferable to be laid off from Bank of Amerillwide than employed, compensation-wise. However, there is still some, shall we say, discontent among the former BAC’ers no longer lucky enough to be working under Ken Lewis, and in the reflected glow of Ang. Moz. An unofficial spokesman for the group writes:

FYI – maybe there is something in this issue; I’ve confirmed that Corporate and Investment Banking (CIB) employees who were cut last week were treated differently in NYC and Charlotte in severance pay. The NYC employees were all given 3 months + 2 weeks of pay * every full year of service (rounds down). The Charlotte employees were given a meager 2 weeks of pay * every full year…a huge difference.

Not sure if there is a potential violation of labor laws here (WARN ACT or other laws), but it’s very clear that employees in Charlotte are treated like crap compared to the NYC staff. Maybe there is something to be investigated further, but I know for a fact that Wachovia’s severance is much better, and all other banks have better severance.

Comments (91)

  1. Posted by guest | January 29, 2009 at 9:40 AM

    were those in charlotte really bankers though? really?

  2. Posted by guest | January 29, 2009 at 9:41 AM

    Charlotte sucks

  3. Posted by Seaman Bodine II | January 29, 2009 at 9:41 AM

    something tells me being laid off in charlotte right now is much better than NYC though…just a hunch

  4. Posted by guest | January 29, 2009 at 9:42 AM

    Gomer Pyle and Goober Pyle are from North Carolina.

  5. Posted by guest | January 29, 2009 at 9:42 AM

    maybe because the charlotte deal flow wasnt so strong the last…century.

  6. Posted by guest | January 29, 2009 at 9:44 AM

    are they done with cutting yet?

  7. Posted by guest | January 29, 2009 at 9:44 AM

    Charlotte is (was?) the office for REIB as well as a fair amount of the lev fin.
    On the markets side I believe it is mostly structured products.

  8. Posted by guest | January 29, 2009 at 9:47 AM

    Those laid off in Charlotte were also given wolf cookies.

  9. Posted by guest | January 29, 2009 at 9:49 AM

    You reference Angelo in just about every BAC post. But is Angelo really still with company? If not, then what’s your point?

  10. Posted by Investorcluzo | January 29, 2009 at 9:53 AM

    I heard that analysts and associates find out if they made the cut next week. also heard that if you get wide-clopped last week, you were told that “if” you had been allocated a bonus, the number would be conveyed at a later date…all is not lost (just hope the bonus doesn’t come in spirit points!).

  11. Posted by guest | January 29, 2009 at 9:54 AM

    NY State Law is different from NC State Law. End of “story.”

  12. Posted by guest | January 29, 2009 at 9:54 AM

    @ Seaman – How many of you are there?

  13. Posted by guest | January 29, 2009 at 9:58 AM

    It could be argued that spirit points today are worth more than bonuses deferred up to three years, which is what is happening to the lucky few who are actually getting a bonus…
    I heard it was the WARN act in NYC that caused the bump in severance. I think the earlier comment that the laid off worker in CLT is much better than their laid off colleague in NYC, though.

  14. Posted by guest | January 29, 2009 at 10:03 AM

    Some NYC employees got 2 weeks notice only as BAC HR said WARN ACT is by building not by city. Cuomo should definitely investigate!!!

  15. Posted by guest | January 29, 2009 at 10:03 AM

    @11 nailed it.
    This has nothing to do with BAC valuing NYC employees more than NC employes.
    NY has laws that force BAC to compensate fired employees this way (in place so the state can reap more tax money). NC does not. BAC is only paying what they have to.

  16. Posted by guest | January 29, 2009 at 10:05 AM

    New Yorkers need more time and money as they are less prepared for unemployment/cold weather/lycans

  17. Posted by guest | January 29, 2009 at 10:08 AM

    When you get laid off in Charlotte you can move to the woods and play the banjo all day. Cheap living.

  18. Posted by guest | January 29, 2009 at 10:09 AM

    Most of BofA’s CIB is in NYC anyways. So basically this affects very few Charlotte folk.

  19. Posted by guest | January 29, 2009 at 10:11 AM

    If you get laid off in Charlotte you can get by on less. The cost of living is much lower. In addition, wearing shoes and personal hygiene are optional in the south. If it gits reel bad you can always work at the Piggly Wiggly to support your NASCAR addition. Duke sucks!

  20. Posted by guest | January 29, 2009 at 10:11 AM

    This must be the absolute worst PR move in “we-need-to-retain-the-talent” history. BAC has now alienated its own employees in NY, and in NC, and MER employees (who see the writign on the wall).
    It’s like Ken Lewis took a page out of Gov. Paterson’s “How To Handle Delicate Personnel Issues” playbook.

  21. Posted by guest | January 29, 2009 at 10:13 AM

    Please note that NOT all New Yorker got 3 months + 2 weeks of pay!

  22. Posted by guest | January 29, 2009 at 10:20 AM

    NY (listed bad to worse):
    Joel Rifkin, urine-smelling bums, rude people, cold weather, overpriced real estate, UWS

  23. Posted by guest | January 29, 2009 at 10:21 AM

    @14 – The WARN act applies to individual sites, not the city/state/company as a whole. I believe a company of BAC’s size needs to fire 50+ people at a specific site within 90 days for those people to be covered under the WARN act (and receive the extra 3 months).
    The people who got screwed were the ones who were working at OBP, but their group was based elsewhere. BAC claimed they didn’t have to be covered under the WARN act.

  24. Posted by guest | January 29, 2009 at 10:22 AM

    @14 – The WARN act applies to individual sites within NY (or whatever state has adopted a similar law). I believe, in NY, a company of BAC’s size needs to fire 50+ people at a specific site within 90 days for those people to be covered under the WARN act (and receive the extra 3 months).
    The people who got screwed were the ones who were working at OBP, but their group was based elsewhere. BAC claimed they didn’t have to be covered under the WARN act.

  25. Posted by guest | January 29, 2009 at 10:22 AM

    NY (listed bad to worse):
    Joel Rifkin, urine-smelling bums, rude people, cold weather, overpriced real estate, UWS

  26. Posted by guest | January 29, 2009 at 10:23 AM

    ouaaaa ouaaaaa

  27. Posted by guest | January 29, 2009 at 10:24 AM

    @11- it may not be a legal issue but you don’t think it’s a company morale issue when some people get MUCH MORE severance than others, at the same level?

  28. Posted by merkin capital partners | January 29, 2009 at 10:26 AM

    remy rifkin?! should i get a beret?

  29. Posted by guest | January 29, 2009 at 10:28 AM

    go panfers gay tigers
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  30. Posted by guest | January 29, 2009 at 10:29 AM

    @11- the story is that there’s a huge flipping difference b/t the respective severances. and to people talking about differing costs of living, that issue is factored into what “2 weeks pay” constitutes in ny vs nc.

  31. Posted by guest | January 29, 2009 at 10:35 AM

    Has anyone heard how BofA fixed income research has fared in the layoffs?

  32. Posted by guest | January 29, 2009 at 10:35 AM

    yea that 3 months pay will really help keep you afloat in that $3800 / mo, 650sqft piece of shit Nola studio. you dumb fucks. NY sucks. Great place to visit but i wouldnt live there again for 7-figs. Oh wait, i dont have to – i moved and make more!

  33. Posted by guest | January 29, 2009 at 10:36 AM

    @11 – you are clearly new to this site and the ways of the mighty BofA.
    They have been stiffing both customers and staff year-in, year-out wherever they can.
    It was a delicious irony that they changed their corporate slogan from “Higher Standards” (utterly indefensible under any meaningful value system) to “Bank of Opportunity” (if we can fuck you, we will).

  34. Posted by guest | January 29, 2009 at 10:36 AM

    @30
    2 weeks pay = salary/26 * (1-taxrate)
    it’s simple math you idiot

  35. Posted by guest | January 29, 2009 at 10:43 AM

    Wouldnt live in that shthole NYC for anything. Have fun with shallow, vapid women who will dump you once you get laid off. Oh and your rent is $4k for a studio? Sweet.

  36. Posted by guest | January 29, 2009 at 10:49 AM

    @34- um, you are an idiot. my point was that people who are arguing that ny gets 3 months + 2 weeks for every year because it’s more expensive are morons. I’m in AGREEMENT with your equation, which is to say that the whole, nc should get less than ny b/c of how much it costs to live there is taken care of by the equation you cited.

  37. Posted by guest | January 29, 2009 at 10:54 AM

    why do people who do not live in NY care to comment about the pros and cons of our city?
    I don’t see anyone bashing Bluebell, KY or Omaha, NE on here. Please go back to your blue-collar job and leave the city-dwellers alone.

  38. Posted by guest | January 29, 2009 at 10:58 AM

    it is NOT 3 mos PLUS 2 wks for every yr worked in the NY office… at least not at ML.
    let’s set the record straight:
    it is 2 weeks severance for every yr worked at the co. there is a base of 12 wks (for those who worked 4 yrs or less). however, for someone who has 10 yrs in, s/he would receive 20 wks severance, NOT 12 wks + 20 wks.

  39. Posted by Seaman Bodine II | January 29, 2009 at 11:01 AM

    @37
    wtf? this entire site is dedicated to shitting on everyone off the isle of manhattan
    @12
    am on the 212 side of the equation

  40. Posted by guest | January 29, 2009 at 11:01 AM

    @38 You are completely wrong. Please stop spread misinformation. This has everything to do with the NY WARN act.

  41. Posted by guest | January 29, 2009 at 11:03 AM

    35 One of the reasons that a studio rents for $4k (actually, its more like $3.2, and that in a building with a lot of services) is that the salaries are so much higher here than in other places. Isn’t $100,000 around the 96th percentile of us incomes? In NY, starting salaries for professionals are not much less than that. So right off the bat, being here and employed lands you in the top 4% of the US.
    Another reason is that theres a lot going on here. Which in turn attracts a smart workforce. Ever been to a gathering outside places like NY? The big topic of discussion tends to be that the Kroger is having double coupons this week. Peoples lives are just not that interesting.

  42. Posted by guest | January 29, 2009 at 11:07 AM

    Can’t we all just get along… Everyone agrees that NYC is supposedly the greatest city in the Country and Charlotte is somewhere between #20-100. But the fact of the matter is they are #1, and #2 in Banking, and after this global Cluster F is resolved we would all be fortunate to be employed in one of these cities.

  43. Posted by guest | January 29, 2009 at 11:08 AM

    @41: I have to disagree. In NY, the conversation is all about “What do you do?”; with the women angling for “how much to you make?” and the men angling for “does this mean she’ll f*** me if I tell her I work at a HF/PE shop/IB”.
    No matter what club, bar, restaurant, party – it’s only “so, what do you do?”. If you’re really from NYC – you know that’s the case. Outside of NYC, they might, actually, ask you about something other than your W-2.
    But maybe you consider talking about money “interesting” because that is all you have to talk about?

  44. Posted by guest | January 29, 2009 at 11:15 AM

    43 41 here – yeah, Ill agree with you on that. Question 1 is what do you do, Q2, where do you live. Its an attempt to size up your wallet, establish a pecking order. Maybe part of the super competitive nature of NY, which after all is an island so everything is in limited supply (apartments, cabs, tickets for the good stuff, restaurants reservations,). Some find this unnerving, I don’t particularly. After you get Q1 and Q2 out of the way, you can go onto other things. I stick with my original comment: life here is significantly more interesting than other places. Arts, recreation, jobs – all significantly better than what’s offered in cities that are less world class. The high cost of living is the downside – I think its worth it, others dont.

  45. Posted by guest | January 29, 2009 at 11:16 AM

    @43, i think youre just hanging with the wrong crowd. you stereotypical fck

  46. Posted by guest | January 29, 2009 at 11:19 AM

    The Charlotte “bankers” were allowed to keep their spirit points and take the rocking chairs home from their desk.

  47. Posted by guest | January 29, 2009 at 11:22 AM

    @43, i think youre just hanging with the wrong crowd. you stereotypical fck

  48. Posted by guest | January 29, 2009 at 11:22 AM

    Time to get the f*ck out of NYC…

  49. Posted by guest | January 29, 2009 at 11:23 AM

    41 here again.. Thinking about this a bit more. In NY the focus is more on what you’re worth. In a place like Charlotte people ask questions like where do you go to church, what sports do your children play. (In Atlanta the women ask what china pattern you have). Different scoring techniques, based more on values, less on money. Isn’t that just as offensive?

  50. Posted by guest | January 29, 2009 at 11:24 AM

    The thought of living in Charlotte makes me throw up in my mouth.
    - Riblets

  51. Posted by guest | January 29, 2009 at 11:34 AM

    I live in Charlotte and nobody has ever asked me where I went to church. If they did I would punch them in the throat. They ask where you live, and size you up by your neighborhood (ie. Myers Park/Dilworth/Elizabeth = money, north or west charlotte = shithole)

  52. Posted by Seaman Bodine II | January 29, 2009 at 11:39 AM

    all chics south of D.C. are way hotter than those up north – plain fact
    ny bitches try to cover that shit up by sporting la perla but in the end the girls south of the mason dixon line know 5 dollar victoria secret thong gets it done
    seriously

  53. Posted by guest | January 29, 2009 at 11:42 AM

    @50 please do so and make sure you drown in your own vomit.

  54. Posted by guest | January 29, 2009 at 11:45 AM

    51 And then they ask where you go to church.

  55. Posted by guest | January 29, 2009 at 11:45 AM

    Not all other banks have better severance. Our NY office is also 2 week*every full year of work.

  56. Posted by guest | January 29, 2009 at 11:50 AM

    @52
    True. Southern chicks definitely hotter than NY biotches. But Charlotte is still a second rate city with third rate bankers.
    I mean come on people. Great cities of the world! London, Paris, Tokyo, New York, Hong Kong. Charlotte?
    The Best Things to do in Charlotte, North Carolina
    http://www.10best.com/Charlotte,NC/
    #4) Richard Petty Driving Experience
    Hahahahaha. LOL

  57. Posted by guest | January 29, 2009 at 11:52 AM

    At my company, the plan “changed”. The real deadwood was cut early last year, and they got 3 months + 2wks every year worked, plus 6 months healthcare.
    NOW, when they are actually cutting the talented people, it’s 2 months. See ya.
    Moral of story: in bad times, it’s good to get cut first.

  58. Posted by guest | January 29, 2009 at 12:01 PM

    In Charlotte, appropriate questions upon meeting someone new are:
    1. Who is your favorite driver (NASCAR)?
    2. How do you like your bbq (noun)?

  59. Posted by guest | January 29, 2009 at 12:02 PM

    56 You nailed it: being middle class in places like Charlotte, Atlanta, Cincinnati, makes for a pleasant life. If you’re focus is on family and all that goes with it (kids sports, church, firing up the bbq after work, a trip to Disney every other year), you’ll have a fine time. Perfectly suited to the broad middle. Places like NY, London, Hong Kong carry a price in terms of cost and inconvenience, but offer an entirely different experience.

  60. Posted by guest | January 29, 2009 at 12:05 PM

    @40: how can I be “wrong” when I was let go last week. Former ML’er communicating THE TRUTH

  61. Posted by guest | January 29, 2009 at 12:06 PM

    @40: how can I be “wrong” when I was let go last week. Former ML’er communicating THE TRUTH—
    and I’m not talking about the WARN act, I’m talking about what the severance package actually is, NOT why.

  62. Posted by guest | January 29, 2009 at 12:08 PM

    @56,
    Please do not fuck with the King.
    Please.

  63. Posted by guest | January 29, 2009 at 12:26 PM

    can’t believe you d-bags that live in NYC think you are something special. You are not some kind of superior species because you have more restaurants / bars / shops. You live in a fantasy world where you are the cultural “elite”. Im so happy this crisis happened, I hope it guts that island and your pompous attitudes. Id love it if NYC turned into a shthole.

  64. Posted by guest | January 29, 2009 at 12:26 PM

    You still have your job, but you’ll have to relocate to Charlotte. Oh, you don’t want to move? Then unfortunately we are unable to offer any severance.
    Sorry and thank you.

  65. Posted by guest | January 29, 2009 at 12:33 PM

    Still think that Bess and/or EP need to visit the QC.

  66. Posted by guest | January 29, 2009 at 12:39 PM

    NYC employees in buildings other than the Bank Of America Tower dot NOT get two months, only two weeks. I know cz I am one of them. BAC screwed us even here, hiding behind the WARN ACT’s “location” clause, even though people from the BOAT were working in the same department. This company stinks.

  67. Posted by guest | January 29, 2009 at 12:41 PM

    If you’re under 30 and are arguing Charlotte’s the way to go, you’re a damn fool.
    http://www.charlottesgotalot.com/default.asp?charlotte=152
    Go “Howl at the Moon” until the wee hours of 2am… Apparently it’s a 10 out of 10
    http://www.carolinanightlife.com/charlotte/accounts_view.php?ID=2077

  68. Posted by guest | January 29, 2009 at 12:47 PM

    @63 If NYC became a “shthole” then then you and your partner would not have anywhere to come to to buy your fake designer bags found on Broadway. Certainly you can’t afford (fine dining) or understand (culture) anything else that the city has to offer. Please stay in the south and rot while we run the country from up here.

  69. Posted by guest | January 29, 2009 at 12:52 PM

    Why is this even a debate? Who pulled Charlotte out of the banal ass of America and suggested it was the place to be?

  70. Posted by guest | January 29, 2009 at 12:54 PM

    Stop Crying “poor me” Charlotte Bankers – Ken is your boy and clearly has no place in NYC. What sane man takes a profitable company and drives it into the ground like this? If this is the best Charlotte has to offer God help us. John Thain – I will work for you any time!

  71. Posted by guest | January 29, 2009 at 12:55 PM

    Still think that Bess and/or EP need to visit the QC.

  72. Posted by guest | January 29, 2009 at 12:57 PM

    @ 69 – I did.

  73. Posted by guest | January 29, 2009 at 1:09 PM

    @63
    NYC is already a shithole. No one would ever argue that NY is not a dirty, coarse fuckhole with too many bums. However, there is a shitload to do (especially if you make $$$) and there are a lot of loose women.

  74. Posted by guest | January 29, 2009 at 1:10 PM

    Two words – Jesse Helms.

  75. Posted by Investorcluzo | January 29, 2009 at 1:16 PM

    @63 – jealous much?
    if nyc weren’t such a good place, why is it the largest city in the us? 8+ million people can’t be all wrong (can they?). last I checked clt barely cracked into the top 20, behind the likes of detroit and memphis.

  76. Posted by guest | January 29, 2009 at 1:21 PM

    Aren’t there other sites on the internet where whiny little homos (pardon the epithet) can bitch about nyc v. charlotte … or detroit … or memphis?

  77. Posted by guest | January 29, 2009 at 1:39 PM

    63 Its not a fantasy, we are the cultural elite. Look at what gets “manufactured” here: deals of all sorts, books written, music opera and plays composed and produced, advertising created, legal issues sorted out, world class newspapers produced. We’re not making widgets. Its just a different kind of economy. More high cost, but also more high value added. That suits some people and offends others. If you dont like it, stay where you are, but don’t criticize. Simple as that.

  78. Posted by guest | January 29, 2009 at 1:47 PM

    Cluzo – you don’t contend that Mexico City is the best place to live, do you?

  79. Posted by guest | January 29, 2009 at 1:52 PM

    @78/79
    I would take Sao Paulo or Mexico City over Charlotte any day. Hell, Dhaka is more happening than freaking Charlotte.

  80. Posted by guest | January 29, 2009 at 1:59 PM

    FWIW: I bought a prepubescent boy in Dhaka for $17.

  81. Posted by guest | January 29, 2009 at 2:06 PM

    How about the folks who were only given 2 weeks notice band together for a lawsuit against Bank of America?
    The Federal WARN act has been litigated on definition of “site of employment” where the site does not have to be a single building. The buildings only need to be in reasonable proximity. In addition, many managers manage across several buildings which clearly indicate that these buildings are part of a campus and should be regarded as a site.

  82. Posted by guest | January 29, 2009 at 2:07 PM

    @81
    TGFD is that you?

  83. Posted by guest | January 29, 2009 at 2:08 PM

    !!!!!
    How about the folks who were only given 2 weeks notice band together for a lawsuit against Bank of America?
    The Federal WARN act has been litigated on definition of “site of employment” where the site does not have to be a single building. The buildings only need to be in reasonable proximity. In addition, many managers manage across several buildings which clearly indicate that these buildings are part of a campus and should be regarded as a site.

  84. Posted by guest | January 29, 2009 at 2:10 PM

    !!!!!
    How about the folks who were only given 2 weeks notice band together for a lawsuit against Bank of America?
    The Federal WARN act has been litigated on definition of “site of employment” where the site does not have to be a single building. The buildings only need to be in reasonable proximity. In addition, many managers manage across several buildings which clearly indicate that these buildings are part of a campus and should be regarded as a site.

  85. Posted by guest | January 29, 2009 at 2:11 PM

    !!!!!
    How about the folks who were only given 2 weeks notice band together for a lawsuit against Bank of America?
    The Federal WARN act has been litigated on definition of “site of employment” where the site does not have to be a single building. The buildings only need to be in reasonable proximity. In addition, many managers manage across several buildings which clearly indicate that these buildings are part of a campus and should be regarded as a site.

  86. Posted by guest | January 29, 2009 at 2:24 PM

    !!!!!
    How about the folks who were only given 2 weeks notice band together for a lawsuit against Bank of America?
    The Federal WARN act has been litigated on definition of “site of employment” where the site does not have to be a single building. The buildings only need to be in reasonable proximity. In addition, many managers manage across several buildings which clearly indicate that these buildings are part of a campus and should be regarded as a site.

  87. Posted by guest | January 29, 2009 at 2:25 PM

    !!!!!
    Who’s for a LAWSUIT???
    The Federal WARN act has been litigated on definition of “site of employment” ..site does not have to be a single building. The buildings only need to be in reasonable proximity. In addition, many managers manage across several buildings which clearly indicate that these buildings are part of a campus and should be regarded as a site.

  88. Posted by Investorcluzo | January 29, 2009 at 3:46 PM

    @79 – not suggesting cities outside of our political regime.

  89. Posted by guest | January 29, 2009 at 5:42 PM

    Not all the associates laid off in NYC were treated the same either. The Middle Office staff released in NYC were not given the 3 months under the WARN Act like the FO associates… BOA has really made a mess of this merger.
    And Merrill staff laid off in NY and NJ are receiving 3 weeks per year severance compared to 2 weeks for BOA staff…..

  90. Posted by guest | January 29, 2009 at 5:45 PM

    Some NYC BOA staff werent treated fairly either. Middle Office staff laid off also did not receive the 3 months under the WARN Act while the Front Office BOA staff did receive the 3 months.
    And Merrill associates laid off are receiving 3 weeks per year while BOA staff only receive 2 weeks per year.
    BOA have made a mess of this merger…

  91. Posted by guest | January 29, 2009 at 6:51 PM

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