Last year, online mortgage company Better.com gained major notoriety when they fired 900 of their employees over a Zoom meeting (and right before Christmas!). The company, in particular its CEO Vishal Garg, were hit with major criticism for their callousness, prompting Garg to take a temporary leave from business.
Unfortunately, it seems that initial round of firings was just a warmup, as this week, Better laid off even more of their workforce, around 3,000 this time. According to Interim President Kevin Ryan, the reason for these new layoffs is a “dramatic drop in origination volume due to rising interest rates.”
“Unfortunately, that means we must take the difficult step of streamlining our operations further and reducing our workforce in both the US and India in a substantial way,” Ryan wrote. “This decision is driven heavily by the headwinds affecting the residential real estate market.”
— ET Panache (@ETPanache) March 10, 2022
Better was planning not to make as much of a spectacle about this firing, with the intent being to individually contact every employee being laid off and explain the situation. However, many employees were tipped off to the layoffs ahead of time when severance payments showed up in their bank statements.
“This was certainly not the form of notification that we intended and stemmed from an effort to ensure that impacted employees received severance payments as quickly as possible,” a spokesperson from the company told CNN.