CEO fires around 900 employees during Zoom call
Hundreds of employees of a US-based mortgage company reportedly joined a Zoom call this holiday season only to be told they will all lose their jobs.
“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,” said Vishal Garg, CEO of the digital mortgage company Better.com, during the reported call.
Footage of the Zoom call made by Garg has now been posted on YouTube and TikTok.
“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. This isn't news that you’re gonna want to hear but ultimately it was my decision and I wanted you to hear it from me,” Garg said.
Garg said that the company was laying off 15% of its workforce, but the company later clarified the number to be 9% of its total staff. With 10,000 people working for the company, the layoff then affected around 900 employees.
“The last time I did this, I cried. This time, I hope to be stronger,” Garg said. “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.”
The CEO then said that employees during the call will receive an email from HR about the severance benefits they will receive.
Following the call, the company’s chief financial officer Kevin Ryan released a statement that was quoted by Techcrunch: “A fortress balance sheet and a reduced and focused workforce together set us up to play offense going into a radically evolving homeownership market.”
The company’s downsizing comes on the heels of a reported decline in the US mortgage market due to lower interest rates. The company also has plans of going public and has recently reported a $750 million infusion as part of its IPO plans. (Bim Santos)