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Twitter Layoff Started Today

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Re: Twitter Layoff Started Today

#91

Post by xienze »

filoleg wrote: post #40
qbasic_forever wrote: post #16

Earlier quoted context omitted.

The median home value in SF is ~$1.5 million. A typical mortgage on a home like that is ~$4-5k per month. So you're assuming folks have $25-30k in liquid cash hanging around all the time. Not unrealistic but certainly not everyone working at tech companies there has that kinda cash. And that's before you factor in other costs like property taxes, insurance, etc. that you'll need to cover too.

> $25-30k in liquid cash hanging around all the time That's like 3-4 months of post-tax pay for a twitter engineer (and not a senior one at all). Yeah, i would expect them to be able to have that much in savings. If someone cant accumulate roughly 15% of their annual compensation in savings, while earning $200-400k/yr, then I have no idea what else could be done here to help.

> If someone cant accumulate roughly 15% of their annual compensation in savings, while earning $200-400k/yr, then I have no idea what else could be done here to help.

The thing with those crazy Valley salaries that you hear about here is that a lot of the time a good amount is in the form of stock that vests on a rolling basis. So maybe you get $150K in cash and $75K in stock. After 401k, California and federal taxes, California housing costs, and California , I can understand how someone making “$225K” in the Valley might not be able to save a whole lot.

Re: Twitter Layoff Started Today

#92

Post by skookum »

influx wrote: post #29
ghostbrainalpha wrote: post #19

Could anyone explain to me in simple terms how it's possible to have a blackout on Vested stock? I was under the impression that once I'm "vested" the stock is now mine and I own it like any normal stock. Are "vested" shares something different? Could I say for example sell my shares on Robinhood if the blackout wasn't in effect or are they held by some third party?

Companies should also remove your trading window when you exit the company.

Are trading blackout windows enforced in any way other than threat of dismissal? I don't think there's any external repercussions to trading during an applicable blackout, and trading on NPMI is illegal regardless of whether it is done in or out of a window.

Re: Twitter Layoff Started Today

#93

Post by mateo411 »

daenz wrote: post #58
stocknoob wrote: post #2

“ many of these folks won’t be able to sell the shares they earned. The money they need pay bills and keep them afloat if and until they get new employment. When severance ends, that’s it.” It’s Twitter’s responsibility to not only offer severance, but make sure employees keep an emergency fund?

>When severance ends, that’s it. What does that even mean? Is there some expectation that they receive paychecks after severance when they are no longer employed?

Well, they can go on unemployment, which has a max benefit of $450 a week in CA.

Re: Twitter Layoff Started Today

#94

Post by rocqua »

stocknoob wrote: post #2

“ many of these folks won’t be able to sell the shares they earned. The money they need pay bills and keep them afloat if and until they get new employment. When severance ends, that’s it.” It’s Twitter’s responsibility to not only offer severance, but make sure employees keep an emergency fund?

Sounds like employees planned to use vested shares as their emergency funds?

Re: Twitter Layoff Started Today

#95

Post by notch656a »

arcticbull wrote: post #75
allarm wrote: post #31

Earlier quoted context omitted.

Is SF the only city in the US? What stops them from moving to another part of the country? I moved across the globe, twice for the last 12 months, with my family. It’s definitely doable.

Often visas - either that they cannot get visas to live or work in a different country, or because leaving the US would cause them to abandon potentially decades of progress towards permanent residency.

Don't need a visa for Svalbard. Checkmate!

Re: Twitter Layoff Started Today

#96

Post by TinyRick »

throwaway5959 wrote: post #5
stocknoob wrote: post #2

“ many of these folks won’t be able to sell the shares they earned. The money they need pay bills and keep them afloat if and until they get new employment. When severance ends, that’s it.” It’s Twitter’s responsibility to not only offer severance, but make sure employees keep an emergency fund?

Seriously. I wouldn’t be surprised if the lowest total comp was in excess of $200k/year. If you can’t have 6 months in cash sitting in a high yield savings account on that, there’s no amount of severance that will help you.

Please show me a "high yield savings account" that comes anywhere close to the ongoing >7% inflation.

Re: Twitter Layoff Started Today

#97

Post by vorpalhex »

hughesjj wrote: post #41
throwaway5959 wrote: post #23

Earlier quoted context omitted.

Equity isn’t an emergency fund.

Isn't and Shouldn't are different things. Also, new hires exist. Not everyone has had time to actually accumulate wealth from their compensation. Not everyone was taught financial literacy before being dumped into a high stress job. Not everyone is in good health. I think sympathy and compassion are fine ideals to hold for any of our working class cohort.

I think treating our fellow humans like humans is more valuable than assuming they aren't capable of basic finance.

Put another way, people will behave as you treat them. Treat them like they are fools who can't do finances and they will behave that way. Expect them to do basic financial behavior and they will.

We literally make financial literacy courses free, online, without any need to even sign up. They will teach you what a bank is all the way up to 401k basics.

Re: Twitter Layoff Started Today

#98

Post by edgefield »

throwaway5959 wrote: post #5
stocknoob wrote: post #2

“ many of these folks won’t be able to sell the shares they earned. The money they need pay bills and keep them afloat if and until they get new employment. When severance ends, that’s it.” It’s Twitter’s responsibility to not only offer severance, but make sure employees keep an emergency fund?

Seriously. I wouldn’t be surprised if the lowest total comp was in excess of $200k/year. If you can’t have 6 months in cash sitting in a high yield savings account on that, there’s no amount of severance that will help you.

$200K in a HCOL area with a family is middle income and you’d be hard stretched to save much if anything.

Re: Twitter Layoff Started Today

#99

Post by allarm »

falcolas wrote: post #42
allarm wrote: post #31

Earlier quoted context omitted.

Is SF the only city in the US? What stops them from moving to another part of the country? I moved across the globe, twice for the last 12 months, with my family. It’s definitely doable.

> What stops them from moving to another part of the country? Cost. Paying early termination on your rental contract. Paying to move. First, last, and a cleaning deposit at your new place. Stocking a new place with perishables. An easy 3+ grand to move to an inexpensive town. Loss of salary/job opportunities. You won't have the same job opportunities, nor salary ranges, if you live in a less expensive part of the cou…

I did all of this in 2020 after the layoffs in the company I used to work for. It’s not the end of the world, it’s doable. In my case, I couldn’t leave the country where I lived, I didn’t have the residency there and it wasn’t possible to get back home, because my home country closed the borders. I spent 3-4 months renewing temporary visa, having 2 year lease contract ahead and no job to cover the expenses. I managed to get a job, then another one, then return back home, then get an offer and fly to another country once again. My salary was substantially lower than theirs, but it somehow didn’t have a critical impact on my savings. I managed to get both of my cats through all of this, it wasn’t cheap as well. I think these guys are going to be fine, that’s my point.

Re: Twitter Layoff Started Today

#100

Post by rocqua »

throwaway5959 wrote: post #23
onion2k wrote: post #12

Earlier quoted context omitted.

Someone who earned 150k cash and 50k stock might be able to save, but they'd probably just keep their stock as their "emergency fund". Twitter are blocking them selling that stock. Effectively Twitter are laying people off and putting a freeze on their savings account. I think it's reasonable to have a little sympathy for people in that situation.

Equity isn’t an emergency fund.

As long as it has liquidity, why not.

A volatile but oversized emergency fund is not horrible. Especially if the estimated chance of needing it is low.

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