Sitel Norman Loses Chase Contract

[venture]

http://normantranscript.com/headline...in-the-balance

NORMAN — Sitel, a customer care outsourcing provider, told its Norman work force on Thursday that up to 370 employees could lose their jobs on Aug. 31.

Going back on memory this is the old Service Zone turned Client Logic turned Sitel. They initially had the Gateway computer support contract as well as Chase and then went 100% Chase Credit Cards. Chase is pulling everything back in house and is done outsourcing (shocker) and Norman is their only domestic outsourced site. From what I'm told the expectations of being able to replace the client they serve is going to take longer than 60 days. It sounds like it'll be a cable outfit but Chase owns all the local computer equipment, so they'll have to replace it all.

It sucks that 300 jobs might be going away, but if we need to have a call center in the town I'd rather it be an in house one. You tend to see better wages and benefits for the employees versus the outsourcing shops. Putting this at maybe 50/50 on Sitel just saying screw it and board the place up and move on.

[acumpton]

I worked there for almost 4 years until last August and it was by far the worst place I've ever worked. It wasn't because of Sitel, but because of the client, Chase. Hopefully they will get a better client in there that is more customer friendly. Chase didn't care about their customers at all, so the reps were the ones who got the earful for it. Just hope no one loses their jobs during this transition.

[Lindsay Architect]

They have a new contract now. Many of this employer's current or past employees complain however these are the ones who were either fired or are problem employees on corrective action. Very typical that they would have negative things to say. We should all remember to consider the sources.

[venture]

They have a new contract now. Many of this employer's current or past employees complain however these are the ones who were either fired or are problem employees on corrective action. Very typical that they would have negative things to say. We should all remember to consider the sources.

Lindsay,

Good to hear they found a new contract. I have a few very close friends there. With that said, employers that immediately go with the mentality that any negative talk is automatically attributed to "bad" employees simply highlights a poor corporate culture. It also shows that the company has an environment that is very much " Us vs. Them" and that things aren't really that great. At the end of the day we need to remember this...

• Sitel is an outsourcer that is contracted by other companies.
• Their pay is pretty typical of an outsource outfit, around $9.50 hour starting I think.
• Their Norman site is around 400-450 seats.
• Up until recently they have been continuously hiring for classes that are normally around 20 employees.
• That could help provide an estimate that the employee churn rate is probably 15 to 25% per year.

It is hard for any company to establish a strong corporate culture and welcoming environment when you are replacing that many employees over the course of a year. You mention that the company fires these type of problem employees. To that end I've spent plenty o' years in the call center management world and have done plenty with talent acquisition. If they are finding many problem employees working their way in, then that is a failure of those doing the hiring. Typically this would mean that they are more worried about putting butts in seats the client is paying for and not so much quality of the service they are delivering.

Sitel does provide a good entry level, unskilled labor job option for Norman and the related income tax benefits. However, it isn't the holy grail of places to work. You can read reviews on Glassdoor and other employer rating sites to get a good impression on how things are. Also you've never seen Sitel ranked as a "best place to work" in any poll. It fills a need though.

[NoOkie]

Lindsay,

Good to hear they found a new contract. I have a few very close friends there. With that said, employers that immediately go with the mentality that any negative talk is automatically attributed to "bad" employees simply highlights a poor corporate culture. It also shows that the company has an environment that is very much " Us vs. Them" and that things aren't really that great. At the end of the day we need to remember this...

• Sitel is an outsourcer that is contracted by other companies.
• Their pay is pretty typical of an outsource outfit, around $9.50 hour starting I think.
• Their Norman site is around 400-450 seats.
• Up until recently they have been continuously hiring for classes that are normally around 20 employees.
• That could help provide an estimate that the employee churn rate is probably 15 to 25% per year.

It is hard for any company to establish a strong corporate culture and welcoming environment when you are replacing that many employees over the course of a year. You mention that the company fires these type of problem employees. To that end I've spent plenty o' years in the call center management world and have done plenty with talent acquisition. If they are finding many problem employees working their way in, then that is a failure of those doing the hiring. Typically this would mean that they are more worried about putting butts in seats the client is paying for and not so much quality of the service they are delivering.

Sitel does provide a good entry level, unskilled labor job option for Norman and the related income tax benefits. However, it isn't the holy grail of places to work. You can read reviews on Glassdoor and other employer rating sites to get a good impression on how things are. Also you've never seen Sitel ranked as a "best place to work" in any poll. It fills a need though.

Honestly, that sounds pretty typical for call center work in or out of house. I've been a phone jockey at several places in the past, and the only one that really fostered a good working environment was the Gateway tech center in Kansas City. Even that started to go down hill quickly when they got into financial trouble. There's something about call center management techniques that fosters an "us against them" mentality for all parties. There are worse jobs out there, but I never want to work the phones again.

[venture]

Honestly, that sounds pretty typical for call center work in or out of house. I've been a phone jockey at several places in the past, and the only one that really fostered a good working environment was the Gateway tech center in Kansas City. Even that started to go down hill quickly when they got into financial trouble. There's something about call center management techniques that fosters an "us against them" mentality for all parties. There are worse jobs out there, but I never want to work the phones again.

Indeed. Though I tend to see in house operations treat employees a bit better. However, a lot of companies just have really poor employee relations as a whole. A lot of that is thanks to poor choices in front line managers. I've made that mistake before of promoting the most aggressive person before who couldn't manage people worth a damn. They always had the "I'm better than you now" mindset with their former peers and by that time it was too late to make an adjustment.

[progressiveboy]

They have a new contract now. Many of this employer's current or past employees complain however these are the ones who were either fired or are problem employees on corrective action. Very typical that they would have negative things to say. We should all remember to consider the sources.

I have to disagree with this statement. This may be the exception but not the rule. Employers demand and want the "perfect" employee and there is "no" perfect or ideal candidate. I have worked in a HR capacity and I know for a fact that many times employers are the biggest problems with employee attrition and turnover rates. I could just imagine in a call center enviorment. I have even heard statements from HR people stating that "employees are a neccesary evil"? Employers are some of the most two faced as they will treat you on the surface well, however, are ready to stab you in the back if you go to them in confidence with a "valid" complaint or concern. Some employers are part of the big problem.

[NoOkie]

I have to disagree with this statement. This may be the exception but not the rule. Employers demand and want the "perfect" employee and there is "no" perfect or ideal candidate. I have worked in a HR capacity and I know for a fact that many times employers are the biggest problems with employee attrition and turnover rates. I could just imagine in a call center enviorment. I have even heard statements from HR people stating that "employees are a neccesary evil"? Employers are some of the most two faced as they will treat you on the surface well, however, are ready to stab you in the back if you go to them in confidence with a "valid" complaint or concern. Some employers are part of the big problem.

I imagine reality is somewhere in the middle of you two.

I also suspect that the necessary evil comment was a joke along the lines we make in line-support IT: "This job would be great if it weren't for the users."

[general]

I currently work at Sitel so this is the scoop. There were rumors that Chase would leave since the spring so this was not a surprise to everyone. Every month it seemed they would change the bonus system to make it harder to get a good bonus. It used to be unlimited but they went to tiered bonuses a few months ago. A lot of coaches and employees have left.

First, unless you get fired you're guaranteed work until Aug. 31. They are being extremely strict and if you are on under kind of disciplinary action beyond verbal (so written or final) you won't be eligible to go to Comcast. However it seems like they are being overly fair since a few people on my team who screwed up (attendance, attitude etc) have gotten long "final verbal" sessions instead of writtens. They need to keep butts in the seats for Comcast and want to keep good employees. A ton of people are one foot out the door. Even the recruiting lady is leaving.

The first class will start August 6 and the second class the day after Labor Day. Classes will be 6 am to 3 pm or 3 pm to midnight five days a week. Forget your current schedule and if you've already submitted your classes schedule for fall, tough luck. If for some reason you're not in the first or second class you will be out of a job (but eligible for unemployment) until the October class.

Second, Chase has flipped the switch already and is no longer routing calls to us. The only calls were are getting are overflow calls from telephone banking. So we're getting calls about every 15-30 minutes. It's pretty great.

Thirdly, we're "over budget" yet again for bonuses so for this month and next, you will get a percentage of what you've earned. So if their budget can only cover 75% of the bonuses, everyone will get 75% of their bonus.

The sad thing is that it used to be a really lucrative job if you knew what you were doing. People were making $45k back before the recession. But times change. Overall it's a good place to work if you just want an easy job in a casual environment. I predict people used to bonuses will leave over time and eventually it will be all new people happy to make $9/hr with benefits.

I think Sitel is doing its best but the bottom line is money. Chase owns all the computer equipment and the phones so it's gonna cost them a fortune to replace everything for Comcast. But they would lose millions by having to shut down the Norman site. They have to have quality full-time employees ready to serve our new cable masters.

[Jersey Boss]

I have to disagree with this statement. This may be the exception but not the rule. Employers demand and want the "perfect" employee and there is "no" perfect or ideal candidate. I have worked in a HR capacity and I know for a fact that many times employers are the biggest problems with employee attrition and turnover rates. I could just imagine in a call center enviorment. I have even heard statements from HR people stating that "employees are a neccesary evil"? Employers are some of the most two faced as they will treat you on the surface well, however, are ready to stab you in the back if you go to them in confidence with a "valid" complaint or concern. Some employers are part of the big problem.

A great example of your position is comparing the turnover rates of employees between COSTCO and SAMS CLUB.

[venture]

I currently work at Sitel so this is the scoop. There were rumors that Chase would leave since the spring so this was not a surprise to everyone. Every month it seemed they would change the bonus system to make it harder to get a good bonus. It used to be unlimited but they went to tiered bonuses a few months ago. A lot of coaches and employees have left.

First, unless you get fired you're guaranteed work until Aug. 31. They are being extremely strict and if you are on under kind of disciplinary action beyond verbal (so written or final) you won't be eligible to go to Comcast. However it seems like they are being overly fair since a few people on my team who screwed up (attendance, attitude etc) have gotten long "final verbal" sessions instead of writtens. They need to keep butts in the seats for Comcast and want to keep good employees. A ton of people are one foot out the door. Even the recruiting lady is leaving.

The first class will start August 6 and the second class the day after Labor Day. Classes will be 6 am to 3 pm or 3 pm to midnight five days a week. Forget your current schedule and if you've already submitted your classes schedule for fall, tough luck. If for some reason you're not in the first or second class you will be out of a job (but eligible for unemployment) until the October class.

Second, Chase has flipped the switch already and is no longer routing calls to us. The only calls were are getting are overflow calls from telephone banking. So we're getting calls about every 15-30 minutes. It's pretty great.

Thirdly, we're "over budget" yet again for bonuses so for this month and next, you will get a percentage of what you've earned. So if their budget can only cover 75% of the bonuses, everyone will get 75% of their bonus.

The sad thing is that it used to be a really lucrative job if you knew what you were doing. People were making $45k back before the recession. But times change. Overall it's a good place to work if you just want an easy job in a casual environment. I predict people used to bonuses will leave over time and eventually it will be all new people happy to make $9/hr with benefits.

I think Sitel is doing its best but the bottom line is money. Chase owns all the computer equipment and the phones so it's gonna cost them a fortune to replace everything for Comcast. But they would lose millions by having to shut down the Norman site. They have to have quality full-time employees ready to serve our new cable masters.

Thanks for the update. Makes me wonder why people would bother with Sitel when they could do Convergys (or West, Startek, etc) for $10+/hr starting with benefits and work from home.

The new client requirements is definitely going to cost Sitel a good deal, especially when it comes to unemployment filings. People being let go with corrective actions on their record are still going to draw unemployment (the state rarely says no). Then to replace all the systems is going to cost them a ton. Honestly it might have been better for them to just moth ball the facility and move on.

[general]

Thanks for the update. Makes me wonder why people would bother with Sitel when they could do Convergys (or West, Startek, etc) for $10+/hr starting with benefits and work from home.

The new client requirements is definitely going to cost Sitel a good deal, especially when it comes to unemployment filings. People being let go with corrective actions on their record are still going to draw unemployment (the state rarely says no). Then to replace all the systems is going to cost them a ton. Honestly it might have been better for them to just moth ball the facility and move on.

Up until a few months, people were probably averaging $14-$15 hourly. There were people getting $1,200

There are a ton of people at Sitel who came from Convergys (and TCIM) and they say it's much, much worse. Sitel does have decent management for the most part though the management has been in a tough spot with this change. There was nothing that could have prevented it - Chase just lost too much money last year.

I don't think they will end up paying out much more in unemployment. I have a feeling some people will hang on through the month training and then split. I know two people who really should have gotten writtens and instead got scathing verbals. I'm sure Sitel promised Comcast no employees with current disciplinary action, but at the same time, they can't afford to lose people. The students will probably decide to leave if they can rather than bail on the fall semester.

They said it would cost $100,000 to replace the equipment. Apparently Sitel will bring in what it has in stock elsewhere and buy what is needed. The contract is worth millions so why would they shut the whole facility down?

[general]

To that end I've spent plenty o' years in the call center management world and have done plenty with talent acquisition. If they are finding many problem employees working their way in, then that is a failure of those doing the hiring. Typically this would mean that they are more worried about putting butts in seats the client is paying for and not so much quality of the service they are delivering.

As someone who has worked at Sitel for more than two years, I have to disagree. It's unskilled labor and the recruiters have to take a chance that people will be able to handle the rigid attendance rules. Attendance comes down to maturity basically. There are some people who are right out of high school who do great with 99% adherence. There was someone who was a grandmother who was fired for attendance. Hiring is just a gamble, and when people are really nice I think you want to give them a chance. It's sad when you find out people got fired but it's never usually a shock with some people. They just lack the maturity and responsibility to keep the job when things are constantly coming up and they refuse to accept responsibility for why they missed work. By the way there are people who apply and are not hired because they are not suitable. I applied in a big group and not everyone got offers. They made us take a personality test and some people "flunked" that too.

People do leave on their own which counts for the turnover. I think a lot leave after the first few months because they couldn't take the abuse anymore from callers. I guess they thought they could handle it but in the end it was just too stressful for them. You have to learn quickly to get a thick skin or you won't last in customer service.

[venture]

Up until a few months, people were probably averaging $14-$15 hourly. There were people getting $1,200

That's pretty decent for an outsourcing firm. Granted a lot of that was client paid bonuses.

There are a ton of people at Sitel who came from Convergys (and TCIM) and they say it's much, much worse. Sitel does have decent management for the most part though the management has been in a tough spot with this change. There was nothing that could have prevented it - Chase just lost too much money last year.

They all pull from the same talent pool usually, so that's why you see that. I've had several good people from Convergys but they are like any other outsourcer. However, I was talking about Convergys AT HOME, which is a completely different environment that at their Moore center. TCIM is a telemarketing firm, so they don't compare to an inbound center.

I don't think they will end up paying out much more in unemployment. I have a feeling some people will hang on through the month training and then split. I know two people who really should have gotten writtens and instead got scathing verbals. I'm sure Sitel promised Comcast no employees with current disciplinary action, but at the same time, they can't afford to lose people. The students will probably decide to leave if they can rather than bail on the fall semester.

The unemployment is too hard to guess, but they'll pay a good chunk.

They said it would cost $100,000 to replace the equipment. Apparently Sitel will bring in what it has in stock elsewhere and buy what is needed. The contract is worth millions so why would they shut the whole facility down?

Contracts rarely meet their expected revenue generations. Especially when starting up. Sitel is likely long term though. I would imagine the initial contract will be 2 years with an option 3rd year extension if goals are met. Then of course if the center performs, they'll extend past that. The ability to back fill the systems with existing stock definitely makes thing more doable though.

As someone who has worked at Sitel for more than two years, I have to disagree. It's unskilled labor and the recruiters have to take a chance that people will be able to handle the rigid attendance rules. Attendance comes down to maturity basically. There are some people who are right out of high school who do great with 99% adherence. There was someone who was a grandmother who was fired for attendance. Hiring is just a gamble, and when people are really nice I think you want to give them a chance. It's sad when you find out people got fired but it's never usually a shock with some people. They just lack the maturity and responsibility to keep the job when things are constantly coming up and they refuse to accept responsibility for why they missed work.

I don't disagree with you here. Attendance and adherence have been my two biggest pet peeves dealing with agents. They are the easiest stats to control and there is no excuse for missing them.

By the way there are people who apply and are not hired because they are not suitable. I applied in a big group and not everyone got offers. They made us take a personality test and some people "flunked" that too.

I would hope not everyone gets through. The personality tests are a waste of time and a joke. Should be handled by an interviewer. The test simply tries to narrow people down to a certain candidate type that they know won't be aggressive and will follow orders and be a good worked bee. Passing the test isn't anything to be happy about.

People do leave on their own which counts for the turnover. I think a lot leave after the first few months because they couldn't take the abuse anymore from callers. I guess they thought they could handle it but in the end it was just too stressful for them. You have to learn quickly to get a thick skin or you won't last in customer service.

Abusive callers are the name of the game. That is what the release button is for, but many outsourced providers are not permitted to do that (mainly because they are paid by the minute and that is lost revenue). Most in house shops don't want their employees to take any abuse and allow them to release calls after a warning. Still need a thick skin, but there isn't as much flexibility when you are a contractor.

[general]

FYI we've just been told the Comcast contract fell through. Everyone laid off Aug. 31.

[venture]

Heard about it tonight. Sad to all impacted, but not shocked. There are better jobs out there. I would recommend that those that do enjoy the call center work, look for in house work and stay away from the outsourcers. Benefits are going to be better and the companies are more stable.

[general]

You have to wonder what went wrong for them to lose the contract. Comcast already has support centers through Sitel in other states so they must be satisfied with Sitel.

So we're left wondering if there was something specifically about Norman that they didn't like or if it was just a business decision.

[jedicurt]

FYI we've just been told the Comcast contract fell through. Everyone laid off Aug. 31.

that's terrible news... just out of curiosity, about how many people are we talking about?

[kevinpate]

that's terrible news... just out of curiosity, about how many people are we talking about?

The June 30 Norman Transcript, regarding losing Chase, referenced 'up to 370 employees'

[jedicurt]

The June 30 Norman Transcript, regarding losing Chase, referenced 'up to 370 employees'

wow... that quite a bit more than i would have thought... for someone reason i had a number in the low 200's rolling around in my head.

[general]

It's definitely close to 400 when you include all the support staff. I think there are 3-4 janitors even.

I wonder if they are scrambling now to get a new contract or just calling it quits. Think of all the management about to lose their jobs too. I don't know if Sitel owns the building/property or what. This is a good call center with an established record and staff ready to take calls, it would be a shame if it just disappeared.

It would be very bad for that area too. I was hoping they would be adding a Starbucks or 7-11 to serve those businesses but if Sitel disappears, they probably won't.

[general]

http://www.normanchamber.com/employment/

It's a top 10 employer in Norman according to that list.

The Norman Economic Development Board or whatever the city has must be sweating bullets.

[venture]

http://www.normanchamber.com/employment/

It's a top 10 employer in Norman according to that list.

The Norman Economic Development Board or whatever the city has must be sweating bullets.

There will definitely be a bit of an impact, but nothing that a few more start ups around the Weather Center won't fix.

The one thing I don't really care for is that Sitel is laying everyone off instead of offering them the ability to transfer to Sitel's work at home division that is constantly hiring.

[general]

There will definitely be a bit of an impact, but nothing that a few more start ups around the Weather Center won't fix.

The one thing I don't really care for is that Sitel is laying everyone off instead of offering them the ability to transfer to Sitel's work at home division that is constantly hiring.

It would take dozens of start ups to cover 400 people. I don't see too many new buildings going up. There are vendors in Norman that will lose immediately. The companies that restock the vending machines are there twice daily to keep it full.

I didn't even know Sitel had a work at home division. I wonder who the clients are? I'll ask around and see why this hasn't been brought up to us as an option. Maybe it will be but their focus was first on getting a new contract.

[venture]

It would take dozens of start ups to cover 400 people. I don't see too many new buildings going up. There are vendors in Norman that will lose immediately. The companies that restock the vending machines are there twice daily to keep it full.

Have to keep in mind those companies are going to have higher overall salaries than Sitel. I'm not discounting the loss...but Norman will be able to absorb it pretty well. Unemployment is only like 4.8% (if not lower) right now.

I didn't even know Sitel had a work at home division. I wonder who the clients are? I'll ask around and see why this hasn't been brought up to us as an option. Maybe it will be but their focus was first on getting a new contract.

I think one of the main problems with outsourcing outfits, is that they don't educate their employees on the company - only the client. I've worked with several people from the Sitel location who keep saying they worked for "Chase" when that is not who signs their pay checks.

http://www.sitel.com/index.php?p=Careers&pageId=7