I work for a sister company closely tied with AIG. Workers at AIG, where I have friends who hold positions there, say that things are looking very grim. Everyday the company posts a standard email updating every corporate employee on the finical standings and current outlook in specific sectors the company is involved in. The emails literally only speak of the good things that can come in those sectors and pass by the awful financial news. The emails are basically there to try and "fool" a company employee in believing that things arn't really that bad compared to what is coming out of the news networks. On the contrary things are much worse than the corp. news stations are getting their hands on. Since I work for a sister company of AIG we are closely tied into many of the financial /bail out dealings that AIG has sucked up from the Govt. so we too fall under those very closely watched guidelines. I work in a re-insurance firm (i honestly don't feel safe in naming it) where i would say that 60 - 70 % of our clients we received are through AIG. But ever since AIG has been getting even more bad reviews by the taxpayers (more than when AIG received the first bailout) out intake has dropped dramatically over 40% December. Yes, the first bailout was suppose to keep the company afloat but everyone knew that with such an enormous company being unable to support its self; a good thing (a huge money maker) would come to a end. Like i said earlier now with people like me and you becoming even more irate with this new scandal of 74 bonuses, my friends who work directly with AIG have been furiously taking their corporate stock shares and moving them elsewhere, have been updating their resumes, using any type of social out puts to get new leads at a different companies, and have been using up all of their available vacation and sick time. One of my close buddies actually has been on vacation since the end of January where he has been in Japan looking to land a new lucrative position. Sorry ive been jumping around so much but i too am worried that I also might be out of a job soon enough when AIG does go belly up. And everyone at AIG KNOWS that it WILL file for Bankruptcy in the next 2-3 months after they sell off their subsidiaries. Just last week i had a meeting with a client in the AIG NYC office where people were acting like it was just another normal day. Even though i noticed little things that were different; tvs weren't tuned to CNN of CNBC rather turned to ESPN watching the upcoming NCAA tournament. Employees are told to act like normal, walk around with big smiles and never show any stress of the real world and media. Its just so sad to see so many hard working people who are just like you and me (other than the SVP and higher ups) just sitting around in their cubicals and offices knowing that soon enough they will be desperately looking for another job just to support their families. I feel like im rambling here so ill take a break and surf reddit for a while then come back and post more....
Edit: Im back after my cornbeef dinner hopefully i can stop darting around onto various ideas. I was going to mention ever since AIG started getting its "bad look" in the press about how badly it was tanking the public started looking very cautiously at whom it does business with. I could certainly tell just by working at a related re-insurance firm that both our corporate and private clients were worried about what would happen to their money they were paying towards their fees and premiums. Especially the public started pulling away from investing in AIG not just only in its publicly traded stock but also buy giving their personal insurance be it home, car, family, life, health etc to a company that was slowly fading into a dark death. People do not like doing a business no matter how big or old that company has been around. People see that their hard earned tax dollars are going to a company who literally takes in millions on top of millions of dollars every year..... who shouldn't be in any need of ANY govt. money due to its ridiculous gambling. Ever since the first bad headline popped up on CNN AIG has been swallowing in it own grave. I hate thinking like this after just spending my last 3 years at this sister company but its something I realized that I have to come to terms with. I also wanted to touch upon the point that AIG has been getting a ton of angry emailers, callers and death threats. This is infact a very true story. I would say that the lower end employees who do most of the grunt work arent in the eyesight of the gun. Nether the less the higher ups are under a constant threat. Literally today i was on the phone with a SVP and after taking a 30 min lunch he got back to his pc only to find 54 emails which 90% were irate customers asking him what part he had in with the bonuses and how could he even think of taking even MORE tax payers money. He left at the end of the day for good after spending 25 years at AIG. This has become common seeing people just leaving after not being able to take the constant stress. AIG is demanding to cut employees and then they expect for those remaining workers not only to maintain those clients they have now but to also bring in more revenue. The higher ups then realize that under this scenario its nearly impossible to maintain those clients that they have now and getting new business is out of the question. So you'll see at least 1 to 4 people a day pack up their belongings into a cardboard box.... saying good bye to a couple of people then just walking out without giving anyone else notice. Employees (me including) always have the idea that bankruptcy is just a step away...... so pretty much it really cant get any more grim that it is now.
EDIT / Update #2: I just wanted to let everyone know who is interested in this topic that I am unable to access reddit at work due to it not being a "business related website". I am sending this from my blackberry and I can see that this topic has gotten some attention in the past hours so I was willing to let you guys know that I will be able to answer some questions later today when I am able to get home from work (around 530 or 6 pm EST). Until then anyone that wants to post a question ill try to get around and answer them later today. Oh and if anyone is willing to group a post of all the questions i would very much appreciate it. BTW sorry about the issue of not using paragraphs for some reason I find it difficult to create a comment in this awfully small box. Ill try to break up my comments later tonight.
EDIT #3: Just got back home from work. I don't know how many more people are really still interested in this topic so ill try to keep it short and sweet.
I just quickly read through all of the comments here and just wanted to let people in on my position. I am a recent college grad (doubled major in accounting and business management, minor in psych.) and I have been working for this sister company since spring 2006 (Im a VP here... and if people arnt that familiar with big corporations there can easily be 20-100 VPs in just one office).
First off to comment on the people commenting on my lack of eloquence..... sorry I don't want to sound like a whiner but ive been working at least 10 - 12 hr days and coming home and basically passing out. So the my grammar and spelling are the last things i think about when im literally shooting ideas off the cuff.
Secondly, most lager companies now a days do require their employees no matter what department they are in to hold a degree in that field or a related one. Like i said in my earlier post most of these low end workers or "grunts" (i dont like that word very much) do great jobs at work. The little guys really do most of the hard work and then pass it up to the higher ups where they are given the credit. But in AIG's situation the higher ups are causing all the problems.
The people who are specifically asking about this last recent bonus give out (there have been 5 so far since the bailout) 74 specific people in the AIG department of FP (financial products) were given bonuses basically because they were promised these since late last year. Now these people are the ones who really gambled with AIG's fortune and sorely lost.
Not all of these higher ups (SVP and higher) are responsible for the collapse but a certain amount are. These numbers are evident from the "11" who quit right after they received the bonuses but the day after another 20 or so resigned(this was also not covered by the media). Infact, knowing this makes me happy, but just by leaving the company right after those bonuses were handed to them the govt. can legally recoup all that money and prosecute those who need to be. The govt. literally has a strangle hold over these people once the bailout was agreed to by AIG.
A good article that will give you some more insight if your not sick from all the media attend given to this already can be found here: http://www.courant.com/news/politics/hc-aig-bailout-outrage.artmar18,0,6855256.story
To add a little tidbit in..... I was interviewed at this location in CT and let me tell you when that woman describes it as bare and hospital like, is a complete understatement. That office is completely down to business, besides spending their lunch hours eating pork chops and other extravagant meals (this is really not uncommon to see at other large firms).
Ill be posting more later if needed..... got more Cornbeef wating!!!! :p