Several top officials have resigned amid backlash over the controversial move as the apology comes
Better.com founder and CEO Vishal Garg has issued an apology to the online mortgage lender’s remaining workforce amid swift response to its controversial decision to lay off nearly 900 employees, or about 15% of its workforce, on a Zoom call. .
“I failed to show a fair amount of respect and appreciation for the individuals affected and for their contribution to the better. I have made the decision to lay off, but in communicating it I made a mistake in execution. In doing so, I embarrass you. did, “Garg’s E-mail, which was earlier leaked on blind network, states. “I realize that the way I communicated this news made a difficult situation worse. I am deeply sorry and I am committed to learning from this situation and doing more to become the leader that I am.” You expect me to be.”
Garg stressed that the company is “taking rapid steps to ensure that we as a company are very transparent and aligned on the 2022 goals, the metrics that matter most and the way we all serve our customers.” and how we can work together better to achieve our mission.” He said he would discuss in the upcoming meeting what to expect for the coming year.
“I believe in you, I believe in Better and I believe that by working together we can make homeownership better,” concludes the email.
Better.com CEO tells nearly 900 employees he’s been let go during pre-holiday Zoom call
Several top executives have apologized after reportedly resigning because of the controversy, including Better.com’s marketing chief Melanie Hahn, public relations chief Tanya Herre Gilogly and vice president of communications Patrick Lenihan.
In the call, which was posted to YouTube, TikTok and Twitter, Garg told employees that “the market has changed” and Better.com has to “move with it to survive”. Besides market conditions, Garg cited efficiency, performance and productivity as reasons for layoffs.
“If you are on this call, you are part of the unfortunate group that is being laid off. Your employment here has been terminated effective immediately,” he said. “This is the second time in my career I’m doing this, and I don’t want to do it. The last time I did it, I cried.”
According to the 43-year-old, who has been critical of his employees in the past Luck, told the outlet that he was the author of a blog post following the Zoom call, accusing some of the affected employees of stealing or working an average of 2 hours per day.
The controversy comes in the form of Better.com Plans announced earlier in May $7.7 billion valuation to go public through merger with special purpose acquisition company Aurora Acquisition Corp.
On November 30, companies announced They have been delaying listing to seek regulatory approval for the revised agreement and are working towards completing the merger in a “time-bound manner”.
Under the new terms, Better.com will receive a $1.5 billion private investment in public equity from SoftBank’s subsidiary SB Management Limited and Aurora’s sponsor, Novator Capital, which includes $750 million of bridge financing that will be received immediately and an additional $750. million convertible note. , The new terms were announced ahead of the Zoom call firing.