Real estate platform Better.com CEO Vishal Garg is currently on hot waters across social media platforms for firing around 900 employees on a Zoom call. The laid-off staff is approximately 15% of the firm’s workforce, according to Garg.
In an over 2-minute snippet of the video call now going viral, Garg met with all the employees about to be laid off to announce the termination.
“If you’re on this call, you are part of the unlucky group being laid off,” Garg said.
He preluded the announcement with an explanation that the decision is a response to changes in the market, saying the company has “to move with it in order to survive.” The employees were selected based on “efficiency and performances.”
The chief officer stated that it was “ultimately [his] decision,” citing that this is the second time in his career doing a massive layoff.
“The last time I did it, I cried. This time, I hope to be stronger,” added Garg.
The terminated employees are promised to be provided with four weeks of severance pay, one month of full benefits, and additional two months of health insurance.
However, an anonymous blog post later appeared on the professional network Blind appearing to be criticizing the laid-off Better.com workers, claiming “at least 250 of the people terminated were working an average of 2 hours a day while clocking 8 hours+ a day in the payroll system.”
“They were stealing from you and stealing from our customers who pay the bills that pay our bills. Get educated,” the post added. Garg later confirmed that he wrote the post.
The massive layoff comes only a few days after a cash infusion of US$750 million was announced related to the digital mortgage lender’s previously announced reverse merger with blank-check firm Aurora Acquisition and backed by Softbank.
Information for this briefing was found via The New York Post and CBS News. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.