AT&T CEO tells employees to embrace RTO or take a hike; Amazon commits to layoffs with ‘care and respect’

Plus, a new report shows the need for communication about AI guardrails.

1. AT&T chief says that employees who resist RTO process will have ’difficult time’ amid business changes

AT&T CEO John Stankey told the telecommunications giant’s employees there are two options amid the company’s RTO process — come back to the office or go work somewhere else.

According to an internal memo to AT&T managers obtained by Business Insider, Stankey stated that part of his reason for writing the note was to help employees identify if their work priorities were “misaligned with the strategic direction of this company.” The memo came after an employee survey showed declining engagement nearly seven months after AT&T called employees back to their desks. Stankey also touched on changing dynamics in culture and how those tie back to the business goals of AT&T and overarching employee experience. Additionally, he spoke about how the changing “employment deal” will affect every part of the employee journey beyond just RTO, including compensation, benefits and more.

I understand that some of you may have started your tour with this company expecting an “employment deal” rooted in loyalty, tenure, and conformance with the associated compensation, work structure, and benefits. We have consciously shifted away from some of these elements and towards a more market-based culture — focused on rewarding capability, contribution, and commitment. We believe this is the only way to succeed in the dynamic, technologically driven markets where we operate. I know change like this is difficult and can be unsettling for some. However, as General Eric Shinseki so eloquently stated, “If you dislike change, you’re going to dislike irrelevance even more.” Many of your survey comments indicate agreement with this notion — a desire for our company to evolve to better support our customers and each other.

If you are of the small minority that shared comments similar to, “I have heard this nonsense before and I’ll ignore things until this goes away…” or “things were just fine the way they were…” there might be a disconnect between you and your current professional choice. It takes every one of us, moving in the same direction, to win against the competition, sustain our business, and create rewarding and interesting challenges for employees who want to work in a market-based culture. Changes to compensation, pensions, benefits (paid time off, care leaves, mental health support), delayering, work locations, and workplace environment are all in service of this change.

Stankey isn’t the first CEO to hit out against resistance to RTO policies — JP Morgan’s Jamie Dimon expressed his distaste for remote work forcefully earlier this year. The statement is interesting because Stankey says in so many words that if you can’t get on board with RTO at AT&T, you’re not going to be a cultural fit going forward. But Stankey also made sure to cover many more bases than just RTO in his statement. As part of the company’s changing culture and values, sometimes employee experience has to change too, and RTO policies are often one part of that puzzle.

Moments of major change give leaders the chance to set the tone of their organization’s culture. Stankey’s memo does hedge his opposition to RTO within a desire to beat the competition and effectively tells the managers the note is addressed to that getting back in the office is the only way AT&T is going to compete in the market. Stankey’s words are blunt and don’t leave much room for interpretation, and that’s probably a good thing to avoid any misconstrued messages. His sentiment is plain — come back to the office or find another place to work because the culture and business priorities are different at this company now.

2. Amazon cuts Wondery jobs while committing to layoffs with ‘respect’ at the forefront

Amazon is reorganizing its audio division and cutting jobs at podcast studio Wondery. The move sees the departure of Wondery CEO Jen Sargent and the loss of over 100 jobs.

In a memo obtained by Deadline, Steve Boom, vice president of audio, Twitch and games for Amazon, outlined the business reasons for the decision, including an evolving podcast landscape. But he also took time at the end of an internal memo to address affected employees directly with next steps and a commitment to “care and respect.”

While this is the right organizational structure for the future success of the business, our partners, and our customers, in conjunction with these changes we’ve made the difficult decision to reduce some roles within Wondery. We have notified colleagues whose roles were impacted across the org in North America and Costa Rica, and we are dedicated to handling this transition with care and respect. In other countries, we are following the required legal procedures which require additional time and steps, and we will communicate with affected employees in those regions accordingly.

To those of you impacted, I want to sincerely thank you for all your hard work and dedication to the Wondery business, to our team, and to our customers. Your creativity, dedication, and hard work have helped establish Amazon as a leader in audio entertainment and creator partnerships.  We are working on an individual level to ensure all impacted employees are given the support they need, including severance pay, outplacement services, health insurance benefits and more. Your HRBPs are available for conversations, and we have a licensed counselor available 24/7 through our Employee Assistance Program (U.S. Phone: 1-833-721-2323).

To those continuing with us on this next chapter, additional communication will be shared from your leadership team this week. We’re proud of the work we’ve done together, and we remain excited about what lies ahead for Wondery, Creator Services, and Audible, as we focus on building for creators and customers.

Steve

As layoff memos go, this one is solid. Boom clearly outlines what affected employees are getting out of their separation agreements — that small but significant step helps ease just a little bit of the uncertainty that comes with a job loss. Additionally, providing a phone resource line is a useful yet somewhat uncommon step that shows a commitment to shepherding laid off employees through their transition out of the company.

Layoff comms are best handled when they treat people with empathy, and a major part of that is guiding affected people on what resources are available to them. A company’s greatest resource is its employee base and treating them with respect on the way out the door goes a long way toward preserving your employer brand.

3. Report: Only half of employees say their say their company has clear AI policies

A recent study from ResumeNow revealed that just 50% of employees reported that their companies had clear AI policies. However, that figure stands against 98% of employees stating that their companies had AI policies in place to begin with. That’s a pretty wide gulf — and one that communicators can help bridge.

Last week, we wrote an in-depth piece on how comms and IT can collaborate to bring more awareness to AI guardrails. IT might write the policies, but it’s on comms to tell employees about them and make what is and isn’t fair game crystal clear. A few tips for communicators include:

  • Write a guide on what you can and can’t use AI for at work. Better yet, use practical examples that your colleagues can relate to.
  • Shape IT’s AI use guidelines to your audience. Communicate about AI within the tone and voice of your company. That’s often necessary for engagement, as IT documents can be rigid and dense.
  • Open up the AI conversation. The more you talk about AI, the more willing employees will be to talk about it in turn. Provide open forums for your colleagues to discuss their hopes and concerns regarding this rapidly advancing tech — doing that will foster a culture of openness.

4. How about some good news?

Have a great weekend comms all-stars!

Sean Devlin is an editor at Ragan Communications. In his spare time he enjoys Philly sports and trivia.

COMMENT

One Response to “AT&T CEO tells employees to embrace RTO or take a hike; Amazon commits to layoffs with ‘care and respect’”

    Bhiiver says:

    Welp. I am against Return to work on principle. Looks like ATT will have to adjust to me changing to another carrier.

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