My company had recently announced an undertaking restructuring exercise which would impact a few functions and one of the functions would be in my department.
As a shareholder and someone who’s been investing for some time, I didn’t see this much as a surprise.
Companies have the tendency to exercise their restructuring plan every once in a while. The idea is to identify productivity savings and reduce manpower costs and above all increase shareholder’s value by delivering a higher earnings per share.
My company tends to have this exercise roughly once in every 4 years, so long timers would have seen this coming. It feels sort of like a correction in the stock market that comes once in a while, and all as part of a company’s life cycle.
The good thing about the company policy is it pays out a package equivalent of 1 month for every 1 year …