The chief executive of a New York City-based mortgage company laid off 900 employees Wednesday over a video conference call, multiple sources reported.
Vishal Garg, founder of Better.com, told hundreds of his employees that he did not have “great news,” adding that he cried last time he had to make an announcement of this sort, according to a video of the meeting.
“The market has changed, as you know, and we have to move with it in order to survive,” Garg said during the meeting.
“This isn’t news that you’re going to want to hear … If you’re on this call, you part of the unlucky group being laid off. Your employment here is terminated effective immediately,” Garg said, adding he did not want to make the decision.
The company, backed by Softbank, announced in May it was going public through a special purpose acquisition company (SPAC), and it saw a $750 million cash infusion as part of the deal, according to CNN.
Better.com will likely now see over $1 billion on its balance sheets.
Fortune confirmed that Garg was the author of a post on the professional network website Blind slamming employees for stealing from customers.
“You guys know that at least 250 of the people terminated were working an average of 2 hours a day while clocking 8 hours+ a day in the payroll system,” Garg said, Fortune reported.
“They were stealing from you and stealing from our customers who pay the bills that pay our bills. Get educated,” Garg added.
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