Orion has announced an 8.9% price increase starting April 1, citing ‘severe inflation’. The decision has brought strain on their cost of operations, placing a significant burden on customers. This could potentially provide an opening for Orion’s major competitors, who could attract disgruntled customers by maintaining or even reducing their prices.
The president of Orion, Brian McLaughlin, made this announcement via traditional mail, blaming the rise in data costs. Despite the price hike, he assured that the primary objective of the company remains to offer high-quality services. McLaughlin also spoke about the company’s efforts to reduce operational costs and highlighted their commitment to customer affordability. However, the increasing data prices have made this price adjustment unavoidable.
Despite this, McLaughlin has made promises to cushion the impact by enhancing their services in an effort to improve the customer experience. This move is seen as a sober reflection on the state of the industry where operational costs can no longer be contained, leading to added costs for customers. McLaughlin has assured that Orion’s customer-centric approach will not be compromised.
In other news, Orion has decided to rescind its Return To Office mandate due to employee dissatisfaction. CEO Natalie Wolfsen announced a switch to a hybrid work model which respects individual employees’ preferences and fosters inclusivity and flexibility. Wolfsen stated that the well-being of employees is a priority for the organization and more details about the transition will be communicated in the coming weeks.
The company has also announced a 6% workforce reduction after its workforce increased by 40% through acquisitions of companies like Brinker and Redtail, which made this move necessary. The reduction from an estimated 1,400 to 1,320 employees is designed to eliminate redundancy and optimize resources.
Meanwhile, in a related development, Cetera has hired Mike Durbin as CEO to bolster its $118-billion AUM and a team of 8,000 consultants. Durbin plans to adopt a more aggressive growth approach, similar to Orion’s strategic growth under Genstar’s ownership. This has raised questions about Orion’s ongoing growth and service quality in light of these recent developments.
The uncertainty of the impact of these changes on Orion is high and requires further investigation. Transparency and open communication will be maintained throughout this process and adjustments will be implemented promptly to align with Orion’s long-term goals. Despite the uncertainty, the team remains committed to ensuring seamless operations and exceptional service.
