LPL Financial To Lay Off 10% Of Work Force
CNN Money reports, “LPL Financial, an independent broker/dealer, said it will cut 10% of its work force, or approximately 275 employees, according to a recent filing with the Securities and Exchange Commission.
In the Dec. 31 filing, LPL said it announced the staff reduction to reduce costs as part of a “comprehensive strategic business review.”
LPL said it notified all employees of the job cuts on Dec. 29 and expects to complete all activities associated with the restructuring by Jan. 31. The company also expects to take a fourth-quarter charge of $12 million related to severance and similar personnel-related expenses, the filing said.”
Tough decisions were made - you’ll all get over it.
What was the head count at the other sites? In West Palm Beach 33 people were laid off. Wasn’t it suppose to be 10% percent through out all of LPL?
What was the head count at the other sites? In West Palm Beach 33 people were laid off. Wasn’t it suppose to be 10% percent through out all of LPL?
C’mon people! Let’s have less political & economic philosophy and more useful gossip! Like on lay off day, the police were called over in Plaza 4 because someone was getting confrontational. Does anybody know the story on that?
Right on 53. I’m really surprised someone didn’t go postal. LPL really does suck…BAD!!!
It’s unfortunate that talented long time people were laid off. Is this really a beginning of the end for LPL? It’s clear that more layoffs are coming. Why get rid of the managers and leave temps, staff that is underperforming. And everyone knows that there is at least one employee in every department that can easily be removed. I’ve heard that there are a collection of now unsupported software and applications that exist in Microsoft Access that need support and maintenance. It’s time for financial advisors to realize that LPL is no longer a good place to stay with and move their business elsewhere. Technology is outdated and you need talent to enhance it, that is now laid off.
So, last week it was OK for people at LPL to look at this blog and this week it’s not?
#56: not much new to report, maybe..
they blocked this site!!!! too funny….
they blocked this site at work….too funny!
LPL is becoming the worse place in town to work at, they are taking away all benefits and treat everyone like crap now, they know people just have to shut up and take since things are so bad out there.
#58, 59: they do not want people to speak out. Freedom of speech means nothing to them
#58, #59: Turn on your ’stealth mode’ and access layoffblog anonymously by using http://www.browser9.com
Google Cache works too!
I was laid off and a great performer (at least that’s what my reviews always said). Anyway, almost 2 weeks later, I feel the best I ever have, have a new outlook on life and am truly blessed. It was hard to see how crappy things were there until you’re on the outside.
Anyway, as I have a strong background, already have 2 offers at more than I was making at LPL, and the benefits are MUCH better (I had contacts that I always kept in touch with and were immediately looking to bring me on). I believed the hype to make a switch to LPL (as it was such a “respected” and “growing” place) and although the environment was ok, it was a terrible place to keep your brain working.
I honestly hope they pull through because so much talent is now gone from there. Most of those who worked for respected firms prior to LPL were let go, from what I gathered it was strictly a salary decision. If you made the most at your grade level you were gone compared to peers in your group. Problem is, usually those making the most are worth the most and perform far better than those making a little less.
Whom might be LPL???
I was one of the lucky ones. I worked with an affiliate b/d who lpl bought a year and a half ago. They came in and changed all of our processes which had been working for 40 years and systamatically flooded usnwith their crappy bnet and all of the other lpl systems which dont work and are going to be the death of lpl. just to change an advisors address takes 5 different departments and four months. the change over to bnet caused clients accounts and assets to go to other reps. personal client info being viewed by reps in other parts of the country!! I was with my company for 10+ years. I was very happy until the big monster came and ate us up and now have torn everything apart. HA HA I voluntered to leave but they said no but then happily they took apart my whole floor with 68 of our 160 employees being let go in wpb. My work ethics were being compromised so I wanted to get let go as it became a big fat joke. At first I got mad and frustrated out of my loyalty to the company that I loved. I hated to lie to reps about why their accounts were missing and assigned to other reps. Their clients were getting all kinds of welcome letters and began to call their rep who are trying to figure out just what smells like poop. Looks like dogeatdogworld apparently drank the lpl coolaid. I gave up and realized that lpl does the things they do because they dont care so why stress over it. You watch, lpl is headed down the long road of fines, law suits and once reps realize what has happened to lpl.
I used to work at LPL. Most of the people who were laid off were dead weight. Maybe 1 in every 10 names I heard was actually a loss and those were just b/c of redundant positions. LPL doesn’t really take perofrmance seriously so if someone fails in a role, especially management, they just move them elsewhere or make them a project manager. This is why there was plenty of dead weight to cut.
In my opinion LPL didn’t cut enough. Middle management is still bloated and filled with peoples friends and drinking buddies. I’ve never been around a firm that has so many people who are not licensed and have no industry experience. As someone else mentioned, the lack of basic industry knowledge and understanding by so many VP’s and Directors is astounding. FINRA would have a field day with the fact that unlicensed people are acting in a principal/supervisory capacity.
Don’t work there and probably never will, just reading the blog because I am what some in this blog may consider the “IDIOT” manager that you worked for over the past 6 years and I need to fill a couple of positions in San Diego within the Financial Industry. Wow I will think twice now when I see a resume from someone who used to work at LPL. Not because I think they are idiots or incompetent, because you can’t rank #1 in this industry for so many years by doing all the wrong things. I will think twice because of emotional comments on this blog that make it to the internet and try and trash a company. So if you think that this attitude makes me an IDIOT go ahead and send me your resume we can discuss it during our interview (maybe).
So maybe I’m just a little confused here we have people who stayed at a place they hated for 16 months, worked for people they considered “idiots” for 6 years, blame it on the president George Bush and numerous other comments of hate and discontent. Why would anyone stay at a job that brings so much stress or discontent? Why would someone work for “idiots” for 6 years? I’m sure that the President’s last thought was to ruin the job that you hate.
I agree that this blog is a good thing, but venting will only get you so far.
When you look around other companies are laying off thousands and have been laying off since 2000 (SUN). So instead of focusing on the negatives and being upset it’s time to take advantage of some of the knowledge that people who left before the layoffs or the assistance that is being offered to find a new job. So instead of complaining about the company help your colleagues with writing resumes, coaching for interviews or letting them know what temp agencies are available to find work in this industry.
All the funny comments about security being around the day of the layoffs and the police being called may seem funny to everyone here but work at a place and witness a disgruntled employee come in and shoot 7 people and you will understand why. I’m sure it would be a big laugh if someone you worked with at this company and still had contact and respect for was killed by the same disgruntled employee. If security or police was not around then everyone here would be complaining about why didn’t they prepare for this potential situation. Or think if your spouse or significant other is at a company where layoffs are announced and security is not available and the disgrntled employee shows up and kills or injures them how funny is that?
Having been in this industry for many years and watching acquisitions happen and not happen, guess what…? your part of the 20 years of success is for sale for a reason and it’s not because the biggest kid on the block is trying to take over, it’s because the company you once worked for is not making a profit on the 20 years of success. Maybe it wasn’t part of what they were good at. Never try to sell ice if you live in Alaska sell electricity, heating oil or natural gas instead.
I know that responses will come in, some good some bad but, remember everything you say on here is public and searchable and if you don’t care about hurting yourself remember the people you “respected and liked and may be un-employed whether for valid or invalid reasons in your eyes” are trying to move on with their lives and possibly their family’s lives, and so far all your doing is hurting each other because in the long run be it fair or not, a group of a few can ruin it for all. So feel free to to respond negatively and send out your resume as I said maybe we can discuss it in the interview.
Oh really #67, so someone verbally told you the 300 or so employees laid off and you told them “dead weight” or “weight” while smoking a cigarette or a joint?
This is probably the only time we will be able to talk to each other around the company. What about hearing from some AXA folks?
I would only blame GWB for the global economic downturn. Go Obama!
Comment by Anonymous — January 28, 2009 @ 6:44 pm
No question that was someone from LPL HR “public and searchable” sounds like a threat
I was at LPL for four years, and left just over a year ago when I saw “the writing on the wall.” I ran an entire division reporting directly to the CEO. After 5 acquisitions in a 18 month span, I saw ‘golden parachute” executive position creation for inept “key executives” at the acquired firms. I knew the bubble was going to burst when LPL went from having 5 managing directors when I first arrived up to over 20 MD’s when I left.
I was one of the fortunate ones to get out at a good time. I cannot complain about LPL as an employer. They treated me extremely well. However, i will happily concur with anyone who posts their discontent with the underperforming and inexplicably inept senior management that was absorbed in from numerous acquisitions LPL entered into.
I would like to wish all of those who were adversely affected by the layoff, the best of luck. Hopefully, time may open up many other opportunities for you.
I seriously can NOT believe you laid off losers and disgruntled employees are still bashing LPL! It was a hard business decision and that’s that. You people are disgusting and I can not believe I had the displeasure of working with some of you people. Suck it up, and move on with your lives! After reading these comments, it seems to me the RIGHT people were laid off and I hope many of the current disgruntled employee get the ax at the end of the next quarter.
e. pluribus unum
I’m still at LPL and they are now having some stupid meetings for all management to help with the transition. Wasting more money!!! They spend so much money on stupid things. They are also hiring temps to fill in some areas. How can they lay off regular employees and still have temps? We still have temps in our area and they haven’t said a thing about letting them go. Most of the people laid off were old timers. I think they wanted to get rid of them so they could have new blood. It’s a shame. I’m sorry for all that lost their job and I hope you find something bigger and better!
It seems like a 2nd round of layoffs is planned for middle of march. current employees need to start looking for jobs before so many people are unemployed, that there will not be much jobs left. advisors need to move their business elsewhere because their work is being done by temps mostly. I wish someone would send a link to this blog to top 10 LPL advisors including Ron Carson.
I am the author of post #67. Yes I had a list, by about 3:00 EST on 1/15 I had a list of ~100 names from one of my friends still at LPL. By the next day I knew of ~200 of the people’s names who were laid off. I was a VP there - trust me - I know who was well thought of and who wasn’t.
When I saw the names my reaction was “project mgr, project mgr, guy who failed @ mgmnt, project mgr, guy who f’d up a big project, guy who failed @ mgmt, guy who was an AVP of a 5 person dept, Director of a dept which also had a Mgr, AVP & VP….you get the point.
I actually commend LPL for laying off the weak people and not taking the easy route and laying off entire dept’s or locations (to avoid discrimination claims).
If LPL is such a horrible place to be, why such bile from those of you who are leaving? Shouldn’t you be happy? The environment is bad here in NYC and I’m keeping my eye out for opportunities. Sunny San Diego California sounds nice at this time of year! It’s difficult for me to determine whether the rantings here are just sour grapes or true indicator of something amiss at the firm. It’s hard to imagine the capitalists backing LPL allowing idiots to put their investments at risk.
Anyhow, good luck to all. It’s tough all around. For those with and without jobs. At good firms and bad.
to those who keep claiming (incorrectly) that they laid off the “weak”, I can assure you I know of several who receive a leading performer review weeks before being let go. Does that constitute “weak”?
Will you claim the performance reviews were all bogus as well? How you determine “weak” in an environment that is so juvenile is beyond me. From what I could see, 80% of the workers at LPL were San Diegans who had never been east of Arizona. For a wall st firm that’s beyond unacceptable. From what I also gathered, many who were let go had strong backgrounds on actual wall street.
Also, you are assuming that managers had a play in the decisions, which is contrary to everything coming out of executive mgmts’ mouths.
And to those posters claiming everyone let go a loser, etc do you see 300 posts here? You must be pretty ignorant to assume that a few LPL posters that need to get over it means that 100% of those let go are whiners.
In some departments the reviews are a joke. And yes more layoffs coming maybe as soon as march.
After reading all the comments this evening I’m not shock but disappointed that while everyone seems to have the same basic understanding that management within this company LPL/UVEST can’t make good decision the owner’s still continue to have their head in the sand in California! Why can’t the culture change starting at the top and pushing through to everyone, we have to beleive that all of our efforts were not for nothing! If everyone would take the approach to actually having TEAMWORK this company could be awesome think of how the culture would change, employees would actually want to go to work and be productive instead of standing around waiting for the next round of lay-offs. If you are currently an Executive of either division please make a culture change, implement change, everyone knows we need it NOW!
Anyone get their bonus letter today?
For those laid off: what percentage of last year’s bonus did you get (and what level)?
For those currently employed: What percentage of last years?
I’m hearing stories of as low as 10% of what you got last year . . . can a company retain employees if/when the market recovers treating their current and ex employees this way?
Current AVP, 87 percent of last year’s
37 percent of last year’s bonus. When the markets recover, they will ultimately pay in the end.
Isn’t a smaller bouns better than none? At least you’re still there. If still working there isn’t good enough for you, you are free to leave.
Last time I checked, if it’s not your name on the building then you don’t get to call the shots. This applies to pay, benefits, layoffs, bonuses, etc…
If you’re still there, be happy because you have a job. If you were laid-off, be even happier!
I was there for almost 16 years and left almost 4 years ago. The last 3-4 years I was there it seemed like many (not all) of the new hires had very little respect and/or pride for both the company and their coworkers. I don’t miss it one bit…well, except for all the cute girls who work/worked there.
LPL is the best firm in the biz, all the haters on here are just pissed they didn’t get hired there!
Ex-VP got 10% of what my bonus was last year. It’s a little insulting, then again, I’d rather have them not pay a bonus and have kept me. I think they lowballed all the displaced folks. Any way you think HR/Sr Management would even bother explaining the formulas . Funny thing is my review was outstanding…Oh well.
I worked at LPL and left on my own. Simply put, they employed a lot of people, some good, some utterly worthless. Is this different than other companies? No, not really. It was a culture of brown-nosing, no doubt about it. The talented ones did get some fair shakes, and some didn’t. Depended on how much brown stuff you wore on your nose. There have been rounds of lay-offs over the past 8 years. The company will survive. Change is good for people, it makes you realize what is important and what is not. I sympathize for those let go and sympathize for those still there. Automation is the driver of change and it is amazing there are as many people still there….after all, how many monkeys (especially trading) does it take to turn on a computer?
What is the severance package at LPL layoff?
When I first heard of this site, I felt the need to pile-on as well, having been ruthlessly screwed by LPL too…but then after 88 posts, I had reached a certain zen and self-realization, so I have decided to express myself in a couple of haikus:
Rochelle not there now
Can’t protect and shield cronies
Farewell easy job
Stock options not for
Those who actually work hard
Free ice cream instead
I am a VP
In charge of 3 Managers
No one really works
Fixed Income Traders
Work for a tenth of others
Then they leave en masse
Trading system down
But I am worried about
My Alcatraz cup
I can’t believe what I have been reading here. I only had the opportunity to work at LPL Financial for 14 months. During that time I was fortunate to be working with some of the sharpest and hardest working people I have known. Am I sad to have been laid off? You betcha! I am now facing some real financial hardships. Am I bitter towards LPL Financial? No way! They did the best they could to hang on to all of us when the layoffs should probably have come last Fall. As to the severance package and bonus, they didn’t have to offer us either. The only legal obligation they had was the 60 days. (Actually, I believe the law only requires 14 days!) I wish everyone still at LPL Financial only the best. I will truly miss working there, but I’m already working on moving on to something bigger and better for me.
So how do the ones that got laid off feel about the fact that LPL is now hiring? Anyone plan on posting for these poositions?
I want to thank everyone posting here for keeping me entertained by reading your comments. Now here is some advice for everyone.
PLEASE KEEP THE POSTING HAPPENING.
Normally I read EbaumsWorld, EHOWA and other sites for humor and relief. Now I read this daily to get an understanding of all the love and hate everyone here has for LPL.
Now for the disapointing news…LPL is no different than any other company going through these tough economic times. The only difference is you have been chosen to leave and move on to another opportunity to get screwed by another employer and another employer.
So I beg and plead…keep the entertaining posting happening, I need my daily humor.
Sincerely,
Thanks
Go to embaumsworld.com and watch the humane bark suppressant video. It’s hilarious and it reminds me of the pain and frustration I experienced at LPL. By the time I left LPL I was experiencing Level 6 pain.
It is unfortunate that people lose jobs. More unfortunate that people lose money. Me? Never, I built the place, then dumped near the high of the market. Luck? No way, luck would be bagging Karen Forslund in her prime.
I received my bonus on Friday and it was 22% less. They determined the bonus on title, how long you worked there, how much you made and what you received on your review. I received a Moderate (the review was stupid and complicated to begin with). One of my staff a Manager received about $200 less then me because we gave them a Strong performance. Is that fair? One Manager received $500 more then another because one had Strong and Moderate. We received the sob story that the higher your level the more you were hit. Was that necessary to tell us. So, the SVP and Managing Director that make well over $100k a year had a big cut. So instead of buying a new BMW with their bonus they could only get a Lexus.
If LPL is in such dire straits that it had to lay off people, why should you even get a bonus? If you are management you are a major part of the problem. If LPL is serious about turning things around they will give those in management human bark collars (set at Level 6), not bonuses.
Here’s something you all should take a look at. Google LPL Financial 10k Executive compensation to get an eye-full and also take a moment to find out how much it would cost to terminate a couple of these people. It’s no wonder bonuses were paid in January…those won’t have to be disclosed in the 2008 year-end SEC filing and by spring of 2010 no one will care anyway.
Can someone explain to me how this company has the money to keep running…
Doesn’t it only have under 20k advisors or “customers”. Most of the money it makes is by taking a slice from the advisor’s profit… right?
I’d imagine it’s making NO MONEY this year. Is it just borrowing to stay alive? How is this company NOT going lay off almost everyone in March?