Startup valued at $7B gets flack as CEO lays off 900 employees over Zoom - Tech Mortgage Company

ceo laid of people and gave himself a bonus,

that is how this chitt works

Been through this 3 times during my career and saw it at each company. I will tell you that it severely hampers morale and productivity for the people still working there. First thing that goes through your mind is "well no raises or bonuses this year". Then that mindset just travels everywhere until you have a workforce that just does the bare minimum. Kinda like the last days of Communist Russia.

"So long as the bosses pretend to pay us, we will pretend to work."

Tulip Craze. Just like the 1999-2001 period of ridiculous tech startup valuations, VC's and executives cash out then crash the companies into the ground. "Unicorns" that have $20B+ valuations but bleed cash every quarter... crazy stuff.

... and ... he didn't count on the bad PR doing it in this manner would bring?

Guy should be fired immediately.

He's from Indian, they don't get it. He just thought it will be a great idea and efficient to just do it all at once.

Poo in the loo.

Better.com, a digital mortgage lender with offices in Oakland,

I thought the CEO was very generous with the severance pay and 3 month of health insurance. When my former employer laid off in 2008, nobody got anything!

I thought the CEO was very generous with the severance pay and 3 month of health insurance. When my former employer laid off in 2008, nobody got anything!

... and ... he didn't count on the bad PR doing it in this manner would bring?

Guy should be fired immediately.

he just got handed $750 million.

what's wrong with this picture?

[link to www.msn.com (secure)]

"He accused "at least 250" terminated staff members of stealing from the company by working just two hours a day, Fortune first reported.

"You guys know that at least 250 of the people terminated were working an average of 2 hours a day while clocking in 8 hours+ a day in the payroll system?"

It's a Tech start-up, part of the new Gig economy.

So a mostly online company who employs remote workers probably based out of their own home using the Internet, cell phone and cell phone apps, people get fired by Gig economy technology.

What else do people expect, an in-person visit cup of Starbucks and a doughnut.

We're talking about youngsters who've known no different than Email, Facebook, instant messaging and remote technology. Sucks, but they are not employees with 20 years loyal service turning up at an office / factory / retail outlet etc. putting in a 10 hour shift 5 days a week.

I wonder how many got the shot to keep their jobs....

He's from Indian, they don't get it. He just thought it will be a great idea and efficient to just do it all at once.

Oof.

he just got handed $750 million.

what's wrong with this picture?

[link to www.msn.com (secure)]

"He accused "at least 250" terminated staff members of stealing from the company by working just two hours a day, Fortune first reported.

"You guys know that at least 250 of the people terminated were working an average of 2 hours a day while clocking in 8 hours+ a day in the payroll system?"

Just days after receiving a $750 million cash infusion, a tech startup that Forbes branded in October as a “unicorn,” valued at $7 billion, laid off hundreds of employees in a manner that some online deemed “brutal.”

Better.com, a digital mortgage lender with offices in Oakland, laid off 900 employees weeks before Christmas on a mass Zoom call. Only those being laid off were invited. It is a stark tidal shift for the company, which announced it was going public earlier this year.

“I come to you with not great news,” CEO Vishal Garg said in the video, which has since circulated on TikTok and YouTube. “The market has changed, as you know, and we have to move with it in order to survive.”

“If you’re on this call, you are part of the unlucky group that is being laid off,” Garg said, citing “market efficiency, performances, productivity” among the reasons for the layoffs.

CEO video at the link [link to www.sfgate.com (secure)]

Looks like they closed a call center in India.

Vishal Garg

Start paying attention to last names and ethnicity of those in power
this is a common theme