The CEO of an online mortgage lender fired 900 of his employees in a brutal Zoom call – then slammed them over being so lazy they effectively ‘stole’ from customers.
Vishal Garg axed around nine per cent of New York mortgage firm Better.com’s workforce last Wednesday, including its entire diversity, equity and inclusion team, which deals with complaints about racism and sexism in the workplace.
The blunt call saw Garg say: ‘This isn’t news that you’re going to want to hear…If you’re on this call, you are part of the unlucky group that is being laid off. Your employment here is terminated effective immediately.’
Garg, 43, had warned what lay ahead for staff during the three minute call, telling them: ‘I come to you with not great news. The market has changed, as you know, and we have to move with it in order to survive so that hopefully, we can continue to thrive and deliver on our mission.
‘This isn’t news that you’re going to want to hear. But ultimately it was my decision. And I wanted you to hear from me. It’s been a really, really challenging decision to make.
‘This is the second time in my career I’m doing this and I do not do not want to do this. The last time I did it, I cried. This time, I hope to be stronger. We are laying off about 15% of the company for a number of reasons — the market, efficiency and performances and productivity.’ A firm spokesman later corrected the boss’s figure, and said that the actual proportion of staff who’d been laid off was nine per cent.
One axed worker filmed the call and shared it online, complete with a moment where they cursed at Garg, who owns at least $1 billion in equity, as he confirmed the mass lay-offs at Better.com, whose headquarters sits in Manhattan’s World Trade Center.
The unidentified male worker could be heard to say ‘F**k you dude. Are you f**king kidding me?’
Garg, who is married with children, wielded the ax while blaming market fluctuations, despite a $750 million cash infusion the mortgage company received last week.
But he also hinted at issues with ‘performance and productivity,’ and uploaded a scathing blog post which saw him lash his staff for being idle.
He wrote: ‘You guys know that 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,’ he added.
Garg also said market efficiency, performance, and productivity were to blame for the firings, adding that it was necessary for the company to ‘move in order to survive.’
A Better.com spokesman declined to comment further on the mass-firing when approached by TechCrunch, except to correct the percentage of company that had lost their jobs during the meeting.
Better, which is backed by Softbank, received a $750 million cash infusion last week, after announcing in May it was going public through a Special Purpose Acquisition Company (SPAC). The company now has a valuation of $7 billion.
You’re fired if you’re On This Call, CEO Lays off 900 Workers on Zoom Call
