Company Takeovers - Good Or Bad?

@Janey1966 (24127)
Carlisle, England
July 2, 2011 7:58pm CST
The company John works for recently got taken over by a much larger one that swallows up companies like a ravenous Pacman. John is the type of person that will go along with anything so he keeps his job (and he lost his previous one after 21 years of loyal service) so, initially, he thought this particular takeover wasn't a bad thing as they're Reeds' biggest clients anyway. Now, the company John works for (Reeds) is based in Penrith, the company that has taken over it (H&H Group) is based right here in Carlisle. John (and others) have to drive to work but don't get travelling expenses. The same will apply for those based in Penrith as there is a daft seminar coming up regarding "how to use the telephone" which they will have to travel to Carlisle for in order to get the "training" they don't need anyway. However, the Managers at Penrith (who are now answerable to those in Carlisle) WILL have their travelling expenses paid and have done each time they've been there for meetings. Why should it be one rule for Management and another for the "workers?" I cannot stand this type of unfairness and John's workmates are unhappy but their complaints fall on deaf ears. Their Union is one of the weakest in the country so they know they won't get any joy there. Monthly pay has been a bit of a disaster as well as it affects their overtime (which tends to be split now) and any bonuses coming their way won't be as much. They will still be based on weekly earnings rather than monthly, therefore - financially, they're gaining nothing as it all gets taxed and insured anyway. In my opinion bonuses (and overtime) should not have any decuctions taken out and I'd make sure of that if I was Prime Minister lol. Has this ever happened to you? Has your workplace ever been taken over by another company and was it to your advantage or not?
2 people like this
9 responses
• Canada
5 Jul 11
Im sorry about this but nothing can be done against takeovers!! Yes it happened to me when I was in my 20's. I was working for an agency that belonged to the rich family the Steinberg. We were selling Dr. Payot's beauty products that came from France. Then a company in New York took over the agency. It was a disaster. We spent the first 2 months all gathered in a room with a big table and chairs and no typewriters, not even paper or pens. We just sat there the first day sort of in shock. We had no products, nothing!! We did get phones installed the next week. I hated it. They wanted to move the office in Montreal, so it meant I would have to travel now. I quit and found a much better job. It was too bad because I really enjoyed working there before the take over!!
@Janey1966 (24127)
• Carlisle, England
5 Jul 11
Where John works it's actually busier now than before the takeover and there weren't enough hours in the day then. John's supervisor is totally stressed out and if he downed tools (or just went on the sick through exhaustion) then they'd be f*cked good and proper. Unfortunately, no-one higher up is listening to him and I reckon he's heading for a breakdown. John soaks it all up like a sponge and keeps his head down. I think it does help him though, talking to me about things occasionally as there isn't anyone he can confide in at work...there are his workmates from the old Thurnams but they're not all in the office.
1 person likes this
• Canada
5 Jul 11
I spent 18 yrs working for the Government, having trouble at work and have hubby to talk to only. Oh at times I had the Union guys to talk to but its not the same. So its good that he has you to talk about it...he has to get it off his chest or he'll get sick. I ended up hurting my back and every time I hear about that place.....the pain comes back. So it was all stress related.
• China
3 Jul 11
Market economy is cruel,which is like the weak are the prey of the strong.Company takeovers can optimize the structure of production in a sense,normally,the latter must be better than former(company taken over)in all respects.I simply can't conceive why the rules differ from person to person.My company has been taken over by a larger one,fortunately I retired from it not long after the new company was founded.
@Janey1966 (24127)
• Carlisle, England
3 Jul 11
You really must tell me who that little girl is. She's sooo cute in that awesome dress! Say "Hello!" to her from me would you? That's a good point you make about why should it be different from person to person. Pensions is the main thing people are talking about here and you can guarantee that not everyone will have made provisions for their retirement, despite all working for the same company. Fortunately, John "has got his head on" as far as that is concerned and the "new" company cannot change it, so that's a relief.
1 person likes this
• China
4 Jul 11
The little girl on my avatar is my granddaughter who is getting on for six.She is playing ERHU.I am so glad that you like her.Thanks a lot !
@thezone (9452)
• Ireland
3 Jul 11
It always seems one rule for the average employee and the ones higher up so not fair. I have been in both positions and when I was in power for a few years I always fought for the team but in the end it got us nowhere especially me as management made it very hard on me, so much for trying to do the right thing Who took over the company, I hope it is UK based and not US. US take over are very cruel and they expect miracles from the employees, it is a total different work ethic we have compared to the other side of the pond. I hope John does not find it too hard to adjust to the change, tell him I said Hi and wish him the best of luck and I hope all goes well. Any takeover that I has witnessed has always had a negative effect on the average worker like us :( As for Penrith! obviously you are close. All I will say is Withnail and I One of my favorite movies of all time. Respect!
@Janey1966 (24127)
• Carlisle, England
3 Jul 11
I watched Withnail and I for the VERY FIRST TIME a few weeks ago and yes, it is a good film. Better late than never lol. As far as I know H & H Group are local to Cumbria but they seem to have offices all over the place, including Scotland I think. I really hate the fact they seem to be controlling John's workplace without seeing what's going on there. Now and again they will send someone but he's hardly hands-on. Also, H & H are now responsible for recruitment and this new salesman at Reeds is useless by all accounts..more of a marketer than anything else and he knows nothing about the printing industry, which is what Reeds does..print stuff. I would love it if all the Carlisle guys just walked out and set up on their own and take all the contracts with them. Wouldn't that be ace?
@thezone (9452)
• Ireland
4 Jul 11
Glad you enjoyed the movie. That is what really pisses me off about companies, they send out the big wigs but they never experience what us workers have to go through on an average day. That would be ace, its time the worker had a voice
@DoctorDidi (7030)
• India
3 Jul 11
It is true that we now often hear of merger of big companies or take over of one company by another large company. There are many reasons. But the principal ones are competition and, in today’s world, globalization. It is commonly assumed that if two companies merge, then they would command a much more share of the market compared to the individual share of each. But it is reported that most of the mergers ultimately do not deliver. A larger share may lead to complacency and sloth. It is more likely that the two erstwhile competitors will continue fighting, this time within the organization. The challenge is to create a broader and larger leadership. But still then companies merge. It may be for a temporary benefit.
@Janey1966 (24127)
• Carlisle, England
3 Jul 11
No time for sloth at John's place, although I would describe one of his work colleagues as a MAJOR sloth. That said, you are right of course, this could all be for temporary gain. We shall see.
@GemmaR (8527)
3 Jul 11
I think that it depends what the other company's plans are when they takeover your company. I know that my Father's company was bought by another, but it turned out they didn't want him to work for them anymore and they were going to bring in their own staff; so he was made redundant. However, the deal they gave him to leave was amazing, and he soon got another job, and this meant that it was definitely to his advantage to leave this job because of the deal that they gave him. It was a media company, and they gave us a year's free TV, internet and phone; which saved us a lot of money during the course of the year.
@Janey1966 (24127)
• Carlisle, England
3 Jul 11
That's handy! No such perks for John in his job. H & H are a company with fingers in many pies. However, the auctioneering cattle/sheep side of the company (the bit Reeds do the printing for) has been going for years and is well established.
@ram_cv (16516)
• India
3 Jul 11
Unfortunately takeovers come with their own set of pains. I was in Oracle when the Peoplesoft takeover took place and it was really a painful period as the labor force of the combined entity was supposed to be reduced to 55000 from a combined strength of around 70000. It was really a painful time. Also, usually this is the time when most organizations bring in quite a few changes in their policies and most of these usually inconvenience the employees who will agree to it just to retain their jobs. Sadly this is the corporate way of life. It is not fair, but hey nobody ever said life is fair. Cheers! Ram
@Janey1966 (24127)
• Carlisle, England
3 Jul 11
Hi Ram! You're right of course, life isn't fair. I can count on the fingers of one hand "fair" employers that I've worked for but at least they DO exist..it's just weeding them out that is the problem. Hopefully, this takeover where my husband works will be beneficial LONG-TERM. Fortunately, his pension rights cannot be changed. Those are set in stone and (probably) a requirement set out by Reeds management, otherwise the deal may not have gone ahead.
• United States
3 Jul 11
Sadly yes I was part of a company who did have take over and unfortunately the company bellied up really fast. As employees we can only hope and strive that the company does well after a take over. Sad part is that new management immediately comes in and rocks the boat. The ole phrase do not fix was is broken always comes to mind when I think about what happened at my old employers company.
@Janey1966 (24127)
• Carlisle, England
3 Jul 11
The thing is Reeds is extremely busy but small. Ironically, H & H gave their contract to Reeds just before John's old workplace went t*ts up as they used to have it. Does make you wonder what they're capable of if their actions were partly responsible for a previous company going bust.
@p1kef1sh (45647)
3 Jul 11
Mergers and takeovers are usually only beneficial to the shareholders and senior management. I feel strongly that is an employee incurs costs on behalf of the company then they should be refunded. If the managers have their costs reimbursed so should everyone else. I was senior in one organisation when we were subsumed into another staffed mainly by former bankers. In fairness the allowances system did not change, but the overall management became much worse resulting in a climate of bullying, stress and anxiety. I was happy to go when the time came even though it has cost me 10 years worth of pension that they gave to everyone else except me because they didn't want me to leave. Ironically if I had stayed I think that next year I would be made redundant and retired on full pension anyway. But I still don't regret going.
@Janey1966 (24127)
• Carlisle, England
3 Jul 11
Good for you. It's about doing what's right for "you" isn't it? I've actually walked out of offices a couple of times and one in particular is struggling now (the place where my mate Di works) and look what's happened to her. Stroke victim.
@ebuscat (5949)
• Philippines
3 Jul 11
For me if they are good to handle it is good if not then it is bad to worse.