Consultants are like contract or temporary employees. We're usually in groups by companies who want to undertake a specific project or to augment existing staff during high volume work periods. In some companies like Accenture, McKinsey, Deloitte, and so on, when you're not actively working on a project or under a paying contract, you're "on the bench". More than a couple of weeks spent on the bench usually results in a pink slip.
Auntie is a consulting software analyst, employed full time by a small, privately-held boutique technology company. When I was hired, I was told that under virtually no circumstances would any of us ever be laid off if we had to be "on the bench". That was hugely reassuring to me, because I'd never been a consultant before I took this job and, as sole earner in my household, I was really worried about job security.
Today I found out that whole project teams are on the bench. Two of my fellow consultants, who've been on the bench for just over a month, were told today they have to start taking their vacation time now. When they use up their accruals, they're done.
As I've read the news this week, my heart is beginning to sink:
Gannett is furloughing employees to avoid more layoffs
For the first time, Barnes and Noble is laying off
Plantronics is cutting its workforce by 18%
Motorola is laying off another 4,000
Seagate is laying off almost 3,000
And earlier this week, here in Seattle-land, we learned that:
We're probably going to lose one of our two newspapers
Boeing is going to lay off
Soon to be out of work Washington Mutual employees at least have a sense of humor
And the scuttlebutt is getting worse:
BOEING:
The Boeing Machinist is close to retirement after a long career building widebody jets at the Everett plant, so he's in no danger of losing his job if there are massive Boeing layoffs like in the past.
But he was worried anyway, not for himself but for his co-workers. Boeing last week had announced it would cut about 4,500 jobs from its commercial payroll this year. Boeing said those would not be production-related positions because it has a record backlog of jets to continue building for customers.
My friend, however, was hearing something else. He said reliable people at Boeing told him the announced job losses were just the tip of the iceberg and that Boeing was planning to cut its 737 and 777 work force by as much as 30 percent this year as production rates are drastically cut because airlines will defer delivery of hundreds of planes.
Microsoft:
Rumors. Microsoft layoff and cut-backs and Reduction In Force rumors. That's all I have for you. Rumors and second-hand speculation and the comments left by the fine, good-looking folks who participate in the conversation here. So pour yourself some holiday cheer and dive in.
Big Blue:
An unofficial online employee Web site, IBMemployee.com, says massive layoffs are coming to Big Blue later this month.
While IBM spokesman Fred McNeese says the company "does not comment on rumors or speculation," there's plenty of both on the site.
"All divisions in IBM will be affected," says one entry, adding the majority of those cuts will be announced Jan. 23.
I'm thankful I still have a paycheck and health insurance. But for how long? This is why I'm not buying a house, new car, etc. Because tomorrow I, too, could be a sitting duck or worse.