Better.com, a US-based real-estate company is reportedly experiencing a wave of resignations. The company became a global taking point after its CEO Vishal Garg chose to fire 900 employees on a Zoom call. Many saw the move as unempathetic and crude. The Indian-origin CEO, Vishal Garg later apologized for his insensitive actions and was sent on leave. Also Read - Elon Musk duels with Twitter CEO over expanse of spam and bots on micro-blogging platform
Garg has returned as CEO of Better.com, according to a memo sent within the company and acquired by Tech Crunch. The move doesn’t seem to have gone down well for the employees. A source told the website that many employees have either quit already or are planning to, after learning that Garg has been re-instated as CEO. According to an insider source cited in the story, employees are upset due to Garg’s retention as CEO. Also Read - Exclusive | Better.com terminated thousands of employees in India and US: Read what the company said
According to the memo being circulated in the company, the board of the company had claimed that it was “confident in Vishal and in the changes he is committed to making to provide the type of leadership, focus and vision that Better needs at this pivotal time.” Also Read - BharatPe CEO Ashneer Grover finally speaks up about rumours of getting fired
Better.com board justifies Vishal Garg’s reinstatement as CEO
Previously an internal memo was spotted justifying Garg’s appointment as CEO. The memo said, “As you know, Better’s CEO Vishal Garg has been taking a break from his full-time duties to reflect on his leadership, reconnect with the values that make Better great and work closely with an executive coach.”
The memo further stated, “Vishal will be resuming his full-time duties as CEO. We are confident in Vishal and in the changes he is committed to making to provide the type of leadership, focus and vision that Better needs at this pivotal time.”
It has been confirmed that Garg is coming back as CEO of Better.com. However, it is to be seen how major investors in the real estate company respond.
What happened on the Zoom call
Better.com is a US-based real estate company that is backed by big companies such as Softbank and Aurora. The company had decided to lay off 15 percent of its employees last year. During the infamous Zoom call, Garg blamed employees for stealing from the company. He blamed them for stealing the company’s time. In the call, he said, “the market has changed, as you know, and we have to move with it, in order to survive.”
Later that week, after facing criticism for his method, Vishal Garg released an apology letter. He apologized for his way of dealing with the situation.
In his apology letter, he wrote “I own the decision to do the layoffs, but in communicating it I blundered the execution. In doing so, I embarrassed you.”
Further, he said, “I realize that the way I communicated this news made a difficult situation worse. I am deeply sorry and am committed to learning from this situation and doing more to be the leader that you expect me to be.”