Triarc plans job cuts at Wendy's


Give Triarc (NYSE: TRY) CEO Roland Smith credit for forthrightness. Less than a month after the company announced it would acquire Wendy (NYSE: WEN)'s -- and well before the deal has even closed -- he wrote a letter to the company's employees saying in effect "Welcome to our conglomerate, you're fired!" to borrow a line from Isadore Barmash's book.

Well, not exactly. Triarc -- which is the parent company of Arby's -- isn't a conglomerate, and his letter had a bit more tact. He wrote: "There will be job cuts at Wendy's. I don't know how to put it any other way and say that I am acting with integrity. We will continue to be truthful with you about these as they come up."

It's a bold strategy. Given Wendy's struggles in recent years, he'll need all the help he can get in making this acquisition work, including strong employee morale. While immediate job cuts might help the bottom line, the impact on the company's remaining employees could make it far from a no-brainer.

Smith is betting that straight talk will pay off, but most employees would probably prefer job security. This letter may lead to a less than friendly welcome when Triarc takes control.

Reader Comments (Page 1 of 1)

Symbol Lookup
IndexesChangePrice
DJIA-126.2412,764.22
NASDAQ-25.732,901.50
S&P 500-11.761,340.19

Last updated: February 10, 2012: 11:06 AM

Hot Stocks

General Electric

18.87-0.26(-1.36)

Alcoa

10.365-0.275(-2.58)

Apple Inc

495.78+2.61(+0.53)

Google Inc 'A'

607.07-4.39(-0.72)

Bank of America

8.075-0.105(-1.28)

Wal-Mart Stores

61.47-0.49(-0.79)

Exxon Mobil Corp

83.86-1.02(-1.20)

Ford

12.50-0.19(-1.50)

Citigroup

33.07-0.59(-1.75)

IBM

191.60-1.53(-0.79)

Yahoo

16.25+0.25(+1.56)

Starbucks

48.60-0.60(-1.22)

Microsoft

30.63-0.14(-0.46)

Home Depot

45.15-0.12(-0.27)

DailyFinance Headlines

Benzinga Headlines

TheFlyOnTheWall.com Headlines

BioHealth Investor Headlines

WalletPop Headlines

DailyFinance BlackBerry App

My Portfolios

Track your stocks here!

Find out why more people track their portfolios on AOL Money & Finance then anywhere else.

BloggingStocks Partners

More from AOL Money & Finance

BioHealth Investor Headlines

Page Loaded in 1328889995609 ms.