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I disagree, especially when compared to a self-dealing, unethical, borderline fraudulent CEO getting $1.7bn. There's no good reason for him to have received a p
by sidlls 7y ago
I disagree, especially when compared to a self-dealing, unethical, borderline fraudulent CEO getting $1.7bn. There's no good reason for him to have received a penny, and if the board/VCs were okay with parting with $1.7bn, it should have been distributed to the employees who weren't involved in his shenanigans.
- manigandham 7y agoLayoff with 4 months is a great deal at any company. What Adam did is an entirely separate issue, and not comparable to the average employee. And it was really one main investor who controlled everything and had to part with the money, and not because they wanted to but because that was the price to get rid of Adam's control.
- toomuchtodo 7y agoWeWork is likely worth closer to $0 than $8-10 billion (not just my opinion, Bill Ackman [1] is onboard with that valuation of both the equity and the debt). If SoftBank had a spine, they would've paid out reasonable severance to rank and file (which they have to do regardless), shown Neumann the door (and burn his equity down with no consulting fee to help pay off his credit lines to JPMorgan Chase, UBS Group and Credit Suisse Group), and spun the company down. You don't need to pay a fraud for control of a worthless company. [1] https://www.telegraph.co.uk/technology/2019/10/30/wework-could-worth-zero-says-veteran-investor-bill-ackman/ https://www.telegraph.co.uk/technology/2019/10/30/wework-cou...
- manigandham 7y agoWell the severance is handled. As for the rest, what would shutting it down accomplish? Technically they haven't taken anything from anyone since they never went public so it's just an expensive portfolio company for Softbank and the other investors. If they feel they can turn it around then why not? Meanwhile all those people continue to have jobs.