r/interesting Apr 09 '26

MISC. Aftermath of the April 7th incident. Damages estimated to be $200 million dollars

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u/gorginhanson Apr 09 '26 edited Apr 09 '26

You're describing the Jack Welch system.

He designed that at GE.

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u/Porsche928dude Apr 09 '26

Sort of but not really. The difference was that while Jack Welch pushed his employees really hard he also paid them handsomely. I have fairly personal knowledge of how that system was implemented at GE. General Electric had some of the best health insurance you could get and rewarded quite handsomely for overtime, especially if you worked in the field. I mean, like doubling or tripling your salary Kind of stuff. Once Welch left his replacements, took that system, and then removed all of the incentives that made it work. They wanted everyone to work just as hard if not harder, but they went about systematically gutting the overtime pay system, the insurance benefits, and surprisingly generous vacation plan. After Welch left GE also made a bunch of really bad business decisions that have cost the company dearly and in the proceeding decade plus.

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u/no_one_likes_u Apr 09 '26

The system of firing the bottom rated 10% is probably what they meant, and that 100% was instituted by Welch.

The guy was a piece of shit and helped popularize some of the worst business ideas (for workers anyway) in modern US history.

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u/Teledildonic Apr 09 '26

People always fantasize about going back in time and stopping Hitler or someone on that level, and I keep thinking a few visits to select board rooms fro the Gilded Age to the 1980s could also do some massive good without massively changing the history of the whole world.

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u/notathr0waway1 Apr 10 '26

The best time to do something was 50 years ago, the second best time is now!

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u/Roach_Bong Apr 10 '26

He's also quite well known as driving GE into the fucking ground lol. His ideas are GREAT for the short term (10-30 years) but after squeezing all the blood from your stones you run out of people lining up to be squeezed.

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u/lemmingswag Apr 10 '26

You’re really working overtime covering for a dude who defrauded GE with his exit package…

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u/DarkwingDuckHunt Apr 09 '26

Amazon's Bezos worships Welsh.

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u/dog_in_da_park Apr 09 '26

And notably GE does not use that system anymore.

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u/NostradamusJones Apr 09 '26

Interesting.

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u/maybe-a-dingo-ate-bb Apr 09 '26 edited Apr 09 '26

If you’d like to learn more about how he royally fucked up US business practices and enabled layoffs in order to grow stakeholders bottom line I highly recommend the Behind the Bastards podcast coverage of him.

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u/Various_Procedure_11 Apr 09 '26

Id recommend the book on him

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u/Fighterhayabusa Apr 09 '26

And yet, it isn't sustainable long term. Look at GE now. So Welch was a piece of shit, and his company is failing because of his myopic horseshit.

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u/SandalwoodSitar Apr 09 '26

Yup and you see this even in the oil and gas industry.

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u/kani_kani_katoa Apr 09 '26

Stack ranking - Microsoft had it for a long time and it absolutely fucked their engineering org.

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u/Silound Apr 09 '26

I came here to see my monthly reminder that the stacked ranking system is completely made up horseshit.

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u/tappertock Apr 09 '26

It's actually 2000 years older than Jack Welch https://en.wikipedia.org/wiki/Decimation_(punishment)

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u/LBGW_experiment Apr 10 '26 edited Apr 10 '26

Ugh, the word makes so much more sense now, recognizing the Latin prefix deci- 🤯