Better.com CEO lays off 900+ employees over a Zoom call...
Not the greatest news to hear during a work Zoom meeting...
Working remotely has become a huge adjustment for many workers who were forced into it due to the pandemic. Besides having to find a routine, it's about managing your time and making sure your productivity levels are as consistent as they would be working from the office.
But not everyone takes these responsibilities seriously. They think that working from home is a breeze, because there is no one there to hold them accountable for their actions, or lack thereof.
This was what we think happened in this case. Managing your team remotely is no easy task, making sure that they are able to meet deadlines, that they are managing working from home without disruption, if they are mentally prepared for working from home.
These are all factors that matter when it comes to leading a team that has to work remotely. We only realised the importance of physical leadership and team morale after working remotely and noticing the differences. As much as it has been challenging, it is not a reason to take advantage of your job circumstances and abuse the level of trust that comes with working remotely.
Vishal Garg, the CEO of Better.com, which is a digital mortgage company, hosted a Zoom meeting with his team last week. What started off as a meeting addressing the new vision of the company, led into a layoff session.
He "laid off more than 900 people over Zoom last week. He accused "at least 250" terminated staff members of stealing from the company by working just two hours a day." (Business Insider)
You guys know that at least 250 of the people terminated were working an average of 2 hours a day while clocking in 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.
Read more: This is how you end a Zoom meeting!
The lead up to the layoffs saw the management team reviewing the employee data, this included the number of calls answered, missed and placed, as well as the attendance level with client meetings.
Garg explained: "The productivity rates helped inform the management team on who to keep and who to let go." (Business Insider) This makes full sense, as a company you want to make sure that your team are working in cohesion, you are only as strong as your weakest link, and he clearly made it known who the weakest links were...
He was recorded saying that in hindsight, perhaps he should've worded the layoff in a better way. He also went on to say that if terminated employees feel like they have been judged incorrectly, then they should contact the company.
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All in all it's a tricky one. For those that have been abusing the 'working from home' system, they must've got a real wake-up call because now they are unemployed. And for the management team, it was a bold but necessary move.
No longer are companies wanting to prolong hanging onto the dead-weight of the company. They want to inspire like-mindedness and encourage this with their team members, and we totally get that...
Image Courtesy of Twitter