Worldcom staffers to enjoy all expenses paid cruise.
August 3, 2002 1:45 PM   Subscribe

Worldcom staffers to enjoy all expenses paid cruise. Isn't that nice! You've just contributed to the biggest bankruptcy in U.S. history! What are you going to do now? Eat filet mignon and caviar!
posted by mark13 (12 comments total)
 
Sure off-site events happen for sales teams all the time to increase morale for the troops. $80/person is extravengent even if the company wasn't belly-up.

It wasn't these employees that drove Worldcom into the toilet. These were the employees that brought in revenue. It was the guys at the top that screwed them.

Morale has got to suck at Worldcom right now and I'm sure the planners of this event consider the off-site costs money well spent if one of those sales guys can keep a big account from jumping to another communications company.
posted by birdherder at 2:08 PM on August 3, 2002


$80 a person is hardly extravagant, particularly in New York City. If the event prevents even one staffer from leaving the company, World Com has made money on the transaction. While I cannot quote you the cost of hiring a new employee, the time and cost of resources spent via the interview process alone will surely run higher than $6000, particularly if one includes the cost of a headhunter.

This post article is a prime example of poor journalism, and incomplete analysis of the facts and situation. One could also assume it is evidence of why Jessica Sommar is a journalist, and not a business woman.
posted by kurtosis at 2:29 PM on August 3, 2002


Maybe I'm just jealous because my group's offsites are capped at $50/head.

I'm pretty sure this article is an example of why the Wall Street Journal does not worry about the Post putting them out of business anytime soon. Then again, the gossip column of the Wall Street Journal does not hold a candle to Page Six.
posted by birdherder at 2:47 PM on August 3, 2002


If some stupid cruise keeps some schmuck from leaving a sinking ship then perhaps the sanity of that person should come up for review.
posted by HTuttle at 3:18 PM on August 3, 2002


Eighty dollars per head may be more than reasonable for most companies, but I somehow think the bankruptcy judge will not be amused by this event.
posted by caddis at 3:53 PM on August 3, 2002


It would be easier to give them the benefit of the doubt on this had perhaps Worldcom been worried about the "morale" of the average guy when they were ransacking their 401(k) and life savings. And no, I do not think the judge will be amused, nor will any potential new creditors
posted by ElvisJesus at 4:11 PM on August 3, 2002


I can't imagine that anyone will care the least: this is an incentive meeting that was probably planned prior to the fall-out, using budgeted funds, by a mid-level mgmt type that had nothing to do with the crap that was going down up-top.

When everything hit the fan, they probably (and rightfully) thought: look, these folks have been looking forward to this for a while. Let's not take this away, too... morale is bad enough as it is. Let's just keep it low key to save any toes that are wanting to be stepped upon.

It's $6000, too little to do much good except for what it's doing now: shoring-up morale.
posted by silusGROK at 4:17 PM on August 3, 2002


Aw heck, that's cheaper than an Aeron chair!

That's probably even cheaper than the coffee service that got taken away last year, particularly if you add the bottled water, the soda fountain, and plant service that were also 86ed.
posted by ilsa at 4:36 PM on August 3, 2002


Bankruptcy judges will approve expenses which preserve the estate as a whole ... if this kind of (totally standard, completely non-extravagent) sales force incentive were discontinued, it would probably cost the company $100 in sales for every dollar of "savings."
posted by MattD at 6:40 PM on August 3, 2002


$80 is not all that extravagant especially seen as they need those people to hold onto accounts.
posted by davebushe at 5:55 AM on August 4, 2002


Again playing with virtual money I see.

Let's trust the journalist and say that this is true, some salespeople is going to have a trip on company expenses. Nothing wrong with that WHEN a company is in good conditions. It's even a good investment because you throw a little prize to salespeople, make them happy instead of paying them more. That's financially sound.

But now they're playing on virtual money : you spend let's say $100/employe for the trip , you don't know what their future sales will be. You can't know. Nobody knows, unless you're Harry Potter. You ESTIMATE on past sales.

It is not safe to bet money on returns that you don't know, that's called taking a risk , and it seems that no company filing chapter 11 can take any more risks than it already took.

It's not a hate thing on some kind of employee, salesperson are useful when they sell. But it's time to reduce risks and reduce fringe benefits for WCom ; of course starting from CEO, Board of Directors and other expensive figures. And everybody must take at least a part of the problem, starting of course from the big guys with fat checks.

Now I were a WCom fired employee or another guy in WCom not getting any fringe benefit because of company situation, I'd just go to the dock and show salespeople that it is in their best interest NOT to board the ship. Of course I don't expect many of the WCom employes to have the balls needed to do that.

Crybabies, so many the journalist actually write their complains instead of reporting what's really happening INSIDE Wcom.
posted by elpapacito at 7:03 AM on August 4, 2002


Ahhh this explains why my bonus money is being returned
posted by dilok at 8:32 AM on August 7, 2002


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