‘If you’re making this call, you’re part of the unfortunate group’: US company boss fires 900 employees via video call

Posted:

5 dic 2021 21:00 GMT

It is possible that the layoffs were part of an agreement, between the company and its sponsors, to receive a large sum of money earlier than expected.

Digital mortgage lender Better.com announced Friday that it has fired 900 workers, which is 9% of its staff, in the United States and India, a day after it debuted on the stock exchange. Take Crunch.

The laid-off workers were notified of their dismissal through a letter from the CEO, Vishal Garg, Through a one-way video call. Episode passed social networks It received many criticisms.

“I came to you without good news. The market has changed, you know, and we have to move with it to survive and hopefully we can continue to thrive and achieve our mission. […] If you’re on this call, you’re part of the unfortunate group being laid off. Your employment here is terminated with immediate effect.Read the speech given by the CEO.

Among the reasons for this decision, according to sources close to the business leadership compiled by TechCrunch, predicted that the mortgage market would shrink significantly after 18 months of rapid expansion, due to the desire to provide real estate services.

On the other hand, the company receives an injection of money from its sponsors before the agreement. Although there were no reports of financial problems, it is possible that layoffs were a prerequisite related to this agreement. Also, there is a need for fewer manual work processes and focus on automated work.

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