Vishal Garg laid off hundreds of employees in a single video call. Now parts of the management team are apparently no longer ready to accept the boss’s behavior.
This video call caused quite a stir: During a Zoom conference, Vishal Garg, CEO of the US credit platform Better.com, informed 900 employees that they had been laid off – shortly before Christmas. “If you are part of this call, you are part of the unfortunate group that is being laid off. Your employment here ends with immediate effect,” Garg had explained to those affected, who make up nine percent of the entire workforce.
But the decision of the company boss and, above all, the way in which it was announced has consequences. Many media reported about the disastrous Zoom call, and the outrage was great. Garg also encounters resistance in his own company. Now the executives are turning away from the CEO. As “Business Insider” reports, three high-ranking employees have already resigned.
Better.com: Three executives have already resigned
These include the heads of the PR and marketing departments. And that’s not all: A source told the portal “The Daily Beast” that it was only the first wave of layoffs, more could follow soon. Garg seems to be losing more and more support in his own company, including in management circles.
The frustration seems to be great. “Everyone who’s leaving now gave everything for a company they believed in, but they were ultimately undermined by a boss who doesn’t take advice from anyone and believes he’s always right,” a source said in the Environment Garg’s “Business Insider”.
CEO apologizes for layoffs via video call
In the video call, the CEO cited changed market conditions and the alleged poor performance and productivity of the employees concerned as reasons for the layoffs. The entire diversity, equality and inclusion team, which is responsible, among other things, for investigating complaints about racism or sexism in the workplace has been dismissed. In a blog post, Garg defended his decision once again: He accused the dismissed employee of only working “two hours a day” and of having “stolen” from the company and its customers.
In the meantime, the CEO has also realized that his approach was not exactly strategically smart, at least from a communicative point of view. The head of the credit platform, founded in 2016, apologized to his employees in an email. He did not show “the appropriate respect and appreciation” that the slain employees deserved. The type of communication “made a difficult situation worse,” the message said.
US media had previously reported that Garg had insulted employees in an email. In a portrait of the portal “The Daily Beast” it was also said that Garg had threatened a business partner with burning him alive.
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Source From: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
