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Tech companies force workers into paid time off

Posted Nov 24 2008, 11:45 AM by Kim Peterson
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Cisco Systems and Hewlett-Packard are turning out the lights in December, forcing employees into paid time off to save money. Cisco will shut down its offices from Dec. 29 through Jan. 2, and is "strongly" encouraging workers to also stay home for three days before Christmas, according to an internal memo obtained by Valleywag.

Company-funded parties are out. The memo asks workers to celebrate in "creative ways that result in no cost to the company." Hey, how about making Christmas ornaments with leftover toilet paper rolls?

Cisco is also cutting back on hiring and employee travel. And it's carefully reviewing spending on equipment, employee training, big purchases and outside services.

Memos like these are popping up at companies from coast to coast. H-P is extending its one-week holiday closure by an additional week. Micron is making a similar move. And Dell wants employees to take five days off -- but without pay.

Forcing people into holiday vacation means employees are being paid to do no work. But that's cheaper than running a huge company at a time when most workers are gone anyway, and when nothing really gets done.

Related reading:

How bad is it? Don't ask

What's wrong with Wal-Mart CEO's move

Who gets left out of unemployment benefits?

Comments

 

I work in Tech; my company is shut down this week and 3 weeks at the end of the year.  I work with a lot of youngsters who are stunned and dismayed that they're being told when to take their time off.  I'd a heck of a lot rather be shut down than out of a job and benefits, thank you very much.  Today I'm finishing a work project with no pay because it needs to be done.  I'm tired of listening to whiners.

it's is  indeed  a global crises folks .

Yes!!! What a really great management move.  I work for State Gov.  This week is a waste.  We do not really have enough people to staff the office.  It gets really crazy around the holidays.  Setting here thinking about all the cubes that are empty, but the lights are still on.........What a waste.  Like leaving the house with the lights on. Send us home for the week of Thanksgiving with our without pay.  Maybe some of the jerks in  the office who burn their vac/sick days as soon as they are on the books may just save them for the holiday.  Gives everyone time to shop or get ready for the holiday (not shopping online when they should be working)  do it at home.  Potlucks......save the food for the family.  Who can afford to bring a dish to feed 50 in the office.

In Arkansas our wise Gov. is extending the holiday......24,25, 26 Dec.  Smart Man who in the hell wants to come to work for one day (Friday) after Christmas.  The work of many would be done by the few.  Close the building and save the taxpayers mega bucks instead of burning the lights and heating the whole building when no one is going to show up.  

By the way, we get merit raises based on performance.  CEOs whose company is asking for a handout (spelled taxpayer relief) should be fired not given a mega bonus.  How about a tele conference instead of a jet plane trip for many to the Capitol........Not very good management of money.  Where was their thinking cap.

I have a real 'bailout" for the Auto makers.  National lotto for a free car.  I win go to the car dealer of my choice.  Pick up my car.  This gets rid of the excess cars/trucks.  I pay with my tax dollars for the next 60 months.  LOL.........Have a good one.

Biff (and many others) does not understand High Tech.

No Unions ever got a foot-hold there, that I know of.

I was having fun and being productive in High Tech, for over 30 years.

Lost everything after the Dot Com Collapse.

A few weeks off, with (or with out) pay, is so much better than beginning a new career in retail. (Better than nothing, but the same 20 Christmas Carols played in an infinite loop, every working shift, can endanger ones sanity, Big Time.)

ag eubanks,

How does using your vacation time make you a jerk?  It is being provided for rest and relaxation with your friends and family.  The ones that hurt the company are the ones that never take their vacation since this leaves a liability on the company balance sheet.  As soon as one of these people leaves the company (for whatever reason), the company has to pay out 8-12 weeks of vacation in addition to any severance package.

Taking the vacation time is a responsible use of corporate benefits.  Marriott actually encourages employees to use their accrued vacation by offering a bonus day if you use a week.  This is better than the FedEx method of cutting hours and allowing employees to use vacation to keep 40 hours on their paycheck.

You need to learn about the subject before you start typing.

HP just completed a huge layoff, so why is this better?  It's "in addition to," not "instead of."

If I took two weeks off, I'd come back to fifteen immediate crises (at least one for each day off) and 3000 e-mails that need immediate resolution.

There's a REASON that I don't like taking time off...

the biggest help for corporations in these economic times is to ask the bigwigs to forego their bonuses. it is ironic that they can downsize, force time off etc but have no qualms about accepting bonuses that they have not really earned. how can one get a bonus with a company facing financial difficulties?? Think ivan(verizon) for example. this company once again has fired/laidoff managers just before the holidays in a cost savings move while ivan will receive a 23 million dollar bonus.

We own a business that employees 25-30 people, depending on the season.  In this tough economic downswing, our employees have watched us sell my husbands extra vehicle and put 100%  of the proceeds into the business, they see him work 110 hours a week on average, no, this is not an exageration.  I now work full time elsewhere instead of just for our business, we have cancelled our annual family camping trip instead of my husband taking time off, and we have have cancelled our family vacation to save money.  By the way, this was to be the first time in 5 years we all went away for more than camping and more than 3 days.  We are doing whatever it takes to keep our business running and keep our employees employed.  We only own 1 house and have not taken a paycheck from the restaurant in over a year.  We are surviving on savings and my income.  We own a restaurant and trust me, it is as hard hit as any tech industry.  Eating out is one of the first luxuries to go in this economy.  If more of the big corporate CEO's would take this approach, maybe a bailout would not be necessary.

I think Biff and brains go together like oil and water. Republican/Moron/Rock.

The big 3 car companies started doing this shut-down bit over the Christmas holiday over 35 yearsa go and look where they are today!

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