FEI Weekly

August 31, 2020

10 steps for rebuilding trust in leadership and Coca-Cola plans massive layoffs.

Coca-Cola Plans Massive Layoffs as Part of Global Reorganization

CFO

Coca-Cola is offering voluntary layoff packages to about 4,000 workers in the U.S. and Canada and announced nine new divisions to replace its 17 current operating units, as part of strategic a reorganization. The company is also creating a new unit focused on efficiency and maximizing the advantages of its global scale. The severance program is expected to cost between $350 million and $550 million.

Hertz Seeks (Unlikely) $5.4M in Exec Bonuses

Fox Business

Just months after the company shelled out $16.2 million in extra pay meant to keep executives from leaving, Hertz wants to pass out $14.6 million more in bonuses. Prior to filing for Chapter 11 bankruptcy in May, the company laid off thousands of employees while handing out retention bonuses or “stay pay" to leaders. At the beginning of the month, the company raised $29 million, selling its likely worthless stock before regulators at the SEC raised questions. According to a new report in The Wall Street Journal, retention payments are almost impossible for executives after a company files for bankruptcy.

CEOs With Accounting Backgrounds Have 3 Main Advantages

Accounting Today

There are many reasons why accountants make great CEOs. Accountants-turned-CEOs understand the business cold and love metrics. They operate like they’ll be audited and understand regulations. And, of course, they're prudent with cash.

How Retirees Should Respond to the Fed's New Policy

Forbes

Under the new policy the Fed will seek to "achieve inflation that averages 2% over time." Perhaps most significantly for retirees, it could mean an even longer period of interest rates near zero. Retirees should focus on total return investing, hold at least 50% in equities, use online banks, and should hold some Treasury Inflation Protected Securities (TIPS).

10 Steps for Rebuilding Trust in Leadership

Knowledge @ Wharton

First, clarify your values. Distill what being a leader means to you and how you wish to be seen as a leader. Question, stop and listen carefully. Be honest: say what you know and don’t know. Lay out the dots and then connect the dots. Lay out the plan as you know it (with specific steps). Do what you say you will do. Lead from the front when times get tougher and from the back when times ease up. Finally, give your team what they need to succeed, tend to their well-being, and then (and only then) do you tend to yourself. First, clarify your values. Distill what being a leader means to you and how you wish to be seen as a leader. Question, stop and listen carefully. Be honest: say what you know and don’t know. Lay out the dots and then connect the dots. Lay out the plan as you know it (with specific steps). Do what you say you will do. Lead from the front when times get tougher and from the back when times ease up. Finally, give your team what they need to succeed, tend to their well-being, and then (and only then) do you tend to yourself.