Legg Mason layoffs, on the record
Every job cut, severance charge and restructuring Legg Mason reported in its annual reports, 2018 to 2020, quoted from the filings. Headcount went from 3,275 to 3,246.
Headcount, as reported
| Annual report | Employees | As of |
|---|---|---|
| 10-K for 2018 | 3,275 | March 31, 2018 |
| 10-K for 2019 | 3,246 | March 31, 2019 |
Job cuts, severance and restructuring
Our summaryPermal was restructured for its combination with EnTrust, with severance and retention costs recorded as transition-related compensation; the combination is now substantially complete.
Word for word“In connection with the combination of EnTrust and Permal, Legg Mason incurred total charges for restructuring and transition costs of $92,130 through March 31, 2018, which includes $7,049 , $41,785 , and $43,296 , recognized during the years ended March 31, 2018, 2017, and 2016, respectively.” 10-K for 2018
Our summarySeverance costs were incurred for corporate and distribution personnel, in addition to the Permal restructuring costs.
Word for word“The remaining amounts in each period were primarily severance costs for corporate and distribution personnel.” 10-K for 2018
Our summaryExpected additional restructuring costs for the EnTrust and Permal combination in the next fiscal year.
Word for word“While the combination is substantially complete, Legg Mason expects to incur additional costs totaling $1,000 to $2,000 during fiscal 2019.” 10-K for 2018
Our summaryReal estate charges were recognized for consolidating leased office space and vacated space tied to the Permal restructuring.
Word for word“Net real estate related charges of $12.3 million were recognized during the year ended March 31, 2017, in connection with the restructuring of Permal for the combination with EnTrust, and were offset in part by a $2.7 million reduction to a previously existing lease reserve, while real estate related charges of $17.7 million were recognized during the year ended March 31, 2016, in connection with reduced space requirements and the restructuring of Permal for the combination with EnTrust.” 10-K for 2018
Our summaryAnnounced a strategic restructuring to combine affiliate and parent operations and reduce costs, later widened to corporate and distribution functions.
Word for word“We expect to incur aggregate strategic restructuring costs in the range of $130 million to $150 million, substantially all of which will be incurred through March 2021.” 10-K for 2019
Our summaryIncurred strategic restructuring costs during fiscal 2019, mainly employee termination and retention costs, occupancy and other costs.
Word for word“During the year ended March 31, 2019, we incurred $9.4 million, or $0.08 per diluted share, of costs related to the strategic restructuring.” 10-K for 2019
Our summaryRecorded affiliate restructuring charges, primarily severance, at certain affiliates.
Word for word“The affiliate charges include charges for restructuring at certain affiliates, primarily severance, of $6.8 million and Royce & Associates ("Royce") management equity plan costs of $2.4 million.” 10-K for 2019
Our summaryCompleted the Permal restructuring for the combination with EnTrust, which included employee termination benefits and office consolidation.
Word for word“In connection with the combination of EnTrust and Permal, Legg Mason incurred aggregate charges for restructuring and transition costs totaling $93,598 through completion of the plan in fiscal 2019, $1,468 , $7,049 , and $ 41,785 , of which were recognized during the years ended March 31, 2019, 2018, and 2017, respectively.” 10-K for 2019
Our summaryPlans to eliminate the roles of certain executive officers as part of the strategic restructuring.
Word for word“As part of our strategic restructuring, we will eliminate the roles of certain of our executive officers effective January 1, 2020.” 10-K for 2019
Our summaryEstablished an executive severance arrangement for executives terminated before September 30, 2020, implemented through transition and letter agreements.
Word for word“This executive severance arrangement was implemented on May 21, 2019 by entering into transition agreements with the departing executives, including named executive officer Mr. Hoops, and letter agreements with our other remaining executives, including named executive officers Messrs. Sullivan, Johnson, Merchant and Nachtwey.” 10-K for 2019
| Fiscal year ended | Restructuring charges | Restructuring costs incurred | Cash paid for restructuring |
|---|---|---|---|
| 2019-12-31 | — | $76.6 million | — |
| 2020-03-31 | $57.2 million | — | $43.1 million |
Legg Mason has filed no restructuring notice (Form 8-K, Item 2.05) since 2016. Companies file one only for a cut they judge material, so many announced layoffs never appear as one. This page shows what the company reported to the SEC, not news reports or state layoff notices.
Read from Legg Mason’s annual reports (10-K for 2020, 10-K for 2019, 10-K for 2018) and the financial data it files with the SEC, as of 2020-05-29. Every quotation is word for word from the filing linked beside it; how these pages are built and checked. The full record is in its company data sheet.