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Monday, October 19, 2009

Budget shortfall

Anonymously contributed:

Last week GM revealed that the Lab's operating budget for FY10 is expected to be $100M or so less than FY09. Not only is this bad for the real programs, but it means the indirect (overhead) budget will be less also, since there is less money to tax.

Since GM has promised to avoid a layoff this year, does this mean (1) IAP and flex term employees need to update their resumes, (2) buyouts look possible, (3) NIF will have to pull its own weight, or (4) CFO can follow the Obama example and spend more than it collects?

32 comments:

pedingo said...

100 Mil short huh?

Looks like fat pants will be breaking that no layoff promise!

Of course gutting "Safety" could achieve similar savings but then we might screw up and....get some work done....err I mean have an accident.

.

Anonymous said...

If I recall correctly, that was the starting figure for the reduction between 2007 and 2008 and we all know how that turned out. But if it is 100M that must mean 400-600 employees must be let go or several ULMs.
Sound like round three coming up for layoffs. I just hope they play it straight with us so that we can make informed decisions over a reasonable time frame. However, it will get worse and cost more jobs if LLNS waits too long.

Anonymous said...

I have heard that attrition is still higher than the rate that new employees can be hired. In that case why would there need to be a layoff?

Anonymous said...

I think the Bush model will prevail. As our former Bush v.p. said "Ronald Regan proved deficit spending doesn't matter". There you go.

Anonymous said...

I don't think we will ever see a buyout again. They've changed the layoff policy to make that process much less expensive.

If the 100 million shortfall is true we will see a repeat of the previous layoff, Contract, Term then FTE. And maybe, just maybe an incompetent manager will be hitting the streets. NAH, just kidding, only the folks actually doing the work will hit the streets.

Let's see if George makes any reference in his quarterly report speech today.

Anonymous said...

They'll simply raise the overhead taxes on existing projects to help pay for the indirect side. Same as it ever was. When this results in a reduction of lab projects due to the high costs, they'll raise the taxes on remaining projects even higher. It's called a death spiral, but what does LLNS care? They make the same money regardless of the results.

Anonymous said...

The Lab cannot kill all its programs. If it did, there would be no one to subsidize NIF.

Anonymous said...

What was the total cost of the contract fees for 2008/projected 2009? Add in the cost of new outside managers for the new contract. How close to 100mil do you come?

Anonymous said...

"Since GM has promised to avoid a layoff this year"

"Looks like fat pants will be breaking that no layoff promise!"

I see no broken promises from the blogs stated GM statements. They promised to not layoff in 2009, and they are talking about 2010 now. That is only a few months away, so they can begin the process anytime since it takes a few months to complete anyway.

Anonymous said...

The budget shortfall is more like 140 million with costs continuing to escalate(as per GM all hands talk).

Anonymous said...

I vote for #4 since that seems to be the way this administartion has operated since Nov 3rd, 2008. Sad bunch of people in Washington DC hah? But, heck, you got the change you voted for.

Anonymous said...

October 19, 2009 11:05 PM

300 engineers? I find it hard to beleive we'll have 300 people leave LLNL this year. So what do we need with 300 engineers

Anonymous said...

Am I the ONLY person who remembers the attrition speech GM gave PRIOR to Bechtel takeover???
He stated in a public forum "there will be NO layoffs for the first year"!!
However, the layoffs were implemented for Contract then Flex THEN FTE's were implemented within how many months of Bechtel coming on board????
I also signed-electronically-an "offer of employment for one year"!! Didn't EVERYONE sing this offer to who remain employed yet layoffs were implemented how soon?
First round of FTE's WERE "escorted" out (like criminals!!) a mere less than 7 months later!!!!
Funny I thought I was good at mathematics!!

Puhleeeeezse...quit deluding yourselves...if you honestly put ANY stock in that lying(******-******'s and yes, YOU fill in those blanks!!) "word" then you DESERVE to be led like a sheep to it's slaughter!!!

WHERE is your pride??? Quit losing your self RESPECT by 'giving' it to them!!!

Touch up your resumes and get the heck out!! Do it for yourself, your families and your peace of mind!!!!!

Anonymous said...

My bets on a 10% reduction in NIF come April of 2010. As Russo says. NIF if the crust of the pizza, everyone else is the sauce and he's the salami. If NIF fails, which it may, what'll happen next will make the 2000 they led out the gate look like child play. You all better hope for the best.

Anonymous said...

"I vote for #4 since that seems to be the way this administartion has operated since Nov 3rd, 2008. Sad bunch of people in Washington DC hah? But, heck, you got the change you voted for".

Wishful thinking....This problem originated long before Nov. 4th....the problem is were still having to react with the mistakes of the prior administration. All GM has to do is don't put the cost on the books and call them misc. losses. Now we can get down to the real reason we need layoffs, its to offset too many unsafe individuals walking around...less people equals more safe...Problem solved!

Anonymous said...

October 21, 2009 6:21 AM

$140M and no lay offs. Then we're going to hire 300 engineers and others. Give me a break. Tell the people the truth dude.

Anonymous said...

I have been spending less and planning emotionally for loss of work within the next few years, maybe sooner than later. I'm sticking around to see how it plays out because I don't think my chances are any better elsewhere. I have lowered my expectations. You can call me a sheep or whatever, but sheep can be slaughtered in companies too. Meanwhile I'm doing the best job I can under the circumstances.

Anonymous said...

There's an easy cure for this $140M shortfall. We simply take back the 8% raise you gave the engineers last year, give 0% raises across the board this year with no bonus checks and then take that 150% over funded TCP-1 and put those funds back into the budget and we're home free. Then we hire 300 more people so we can go in debt again. What clowns we have running the budget numbers.It's all smoke and mirror B*** s*** and lies if you ask me.

Anonymous said...

"It should be emphasized that research has always proceeded according to the principle of trial and error, and if you want to be certain of committing no error in these regards, you will equally surely preclude all progress."
- E. Teller
p371, NAS Report on "Applied Science and Technological Progress" June, 1967

Anonymous said...

October 19, 2009 11:05 PM

300 engineers? I find it hard to beleive we'll have 300 people leave LLNL this year. So what do we need with 300 engineers

October 21, 2009 11:13 AM

300 engineers will be cut from LLNS for the same reasons they have been cut at LANS. Brett Knapp and Mike Anastasio have a complete disregard for engineering capability. This is all playing out at LANS where they are wiping that capability out (facilities, infrastructure, personnel), particularly in the weapons area. Four reasons aside from Knapp being a jerk. (1) LANS/LLNS are physics laboratories, Sandia is the engineering laboratory (2) Our friends at Bechtel will provide that capability (3) If our friends at Becthel do not want the work, any job shop contractor off the street can do engineering for us. (4) PBIs baby, PBIs.

Anonymous said...

Dear October 22, 2009 5:00 AM

As as ISP'd I understand and hear your pain. You only have a 'job', no career, no joy in going to work, your paycheck is just a means to pay your bills.

This blogger does not perceive you as a 'sheep'...you are just one of many, powerless to fight the inevitable.

You ARE smart by spending less and preparing yourself emotionally for what WILL come.

You ARE smart to not be deluding yourself that it will change..it won't.

LLNS IS firmly on a downward spiral and gaining momentum with every passing day!!! Its only a matter of 'when' that train wrecks!!!

I have found that, even in today's very tough job market, potential employers DO 'value' LLNL/LLNS employees at a much higher rate than the "average Joe".

I would encourage you to begin the process NOW of creating/touching up a strong resume and get yourself out there before the slaughter begins, giving yourself options rather than taking what LLNS WILL leave you with....nothing.

Take your self respect, your talents, your integrity to an employer who will 'value' them and walk away from them (LLNS) before the layoffs begin...it IS much harder to deal with the aftermath emotionally when you are escorted out...it was for me-it took me at least 6 months for the numbness to even begin to wear off and I had "thought" I had prepared myself for what was coming down last May.

No I wasn't a slouch/bad employee, I didn't have enough seniority to compete within my classification-period....I still hear feedback of a very positive vein.
I KNOW I made a difference.
I KNOW I was valued by not only my peers but my team members and direct report.
I have found my self respect and self worth once again.

I wish you well my friend in your endeavors for a brighter future, a new start to your career for you and your loved ones!!

Anonymous said...

Get rid of Russo, he personally wastes more than $100M per year.

Anonymous said...

Get rid of Engineering. De La Rubia knows all.

Russo

Anonymous said...

So what do we need with 300 engineers...

This must have been posted by Tomas

Anonymous said...

Fine rumor.

NIF has overstaffed trying to get to milestones and will need to cut staff shortly.

Anonymous said...

Fine job of totally wrecking the 'science side' of the weapons complex, NNSA! Heckavajob, Tom D'Agostino! Time to ramp up more positive BS-filled PR releases at the NNSA's Twitter and MySpace sites.

Any good scientist would have to be crazy to consider taking a job at one of the NNSA nuclear weapon research labs these days. LLNL and LANL have clearly passed the tipping point and won't be coming back.

It would be best to spend your spare time polishing up that resume and looking for a more secure job at one of the fast growing DOE energy labs. Funding at ORNL increased by 30% this last year and they are hiring about 50 new employees each month. It's clear where the future of science lies within DOE.

Anonymous said...

October 23, 2009 7:56 AM
Listen to you? I went to the site you posted. You have got to be kidding, right?

Anonymous said...

October 23, 2009 7:56 AM

Funny how any link that tell Amercan's the truth gets removed becasue it doesn't support this blogs view. What a joke.

scooby said...

Hey October 23, 2009 7:56 AM!
The link was politically oriented!
It is not the purpose of the BLOG.

Anonymous said...

Hey Scooby, 7:08
The Lab and the transition in particular, is very politically oriented. To exclude politics from the dialog is to impress your spin on the discussion.

scooby said...

Hey October 28, 2009 9:50 AM!
Tried opening it up earlier this year to political debate; it turned into a hate blog! Thanks for the suggestion but I will politics out.

Anonymous said...

".... I wish you well my friend in your endeavors for a brighter future, a new start to your career for you and your loved ones!!" (Anonymous, October 22, 2009 5:00 AM)

Thanks for the words of advice. My research budget got slashed (again!). I just don't see a future for me at the lab. Rather than waiting in the vain hope that things will get better, I've decided to move on after 20 years at the lab.

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