Vishal
Ga g
made
headli es
i
2021
afte
he
fi ed
900
employees
ove
a
video
call.
Co espo de t
f om
Washi gto
I dia -Ame ica
e t ep e eu
Vishal
Ga g,
who
became
a
global
symbol
of
uthless
co po ate
layoffs
afte
fi i g
900
employees
i
a
th ee-mi ute
Zoom
call
just
befo e
Ch istmas
i
2021,
has
himself
bee
ousted
as
chief
executive
of
Bette
Home
&
Fi a ce.Ga g’s
emoval
came
i
ea ly
August
whe
Da iel
Lewis,
a
hedge-fu d
ma age
who
had
joi ed
Bette ‘s
boa d
o ly
a
week
ea lie ,
became
i te im
CEO.
Bette ‘s
boa d
said
di ecto s
othe
tha
Ga g
had
u a imously
voted
to
te mi ate
him,
citi g
co ce s
about
his
“judgme t,
tempe ame t
a d
c edibility.”
The
compa y
also
poi ted
to
losses
exceedi g
$1.5
billio
si ce
2022
a d
a
mo e
tha
90%
decli e
i
its
stock
p ice
du i g
his
leade ship.The
ouste
is
the
latest
twist
i
the
ext ao di a y
co po ate
saga
of
Ga g,
who
fou ded
Bette
afte
becomi g
f ust ated
with
the
t aditio al
mo tgage
p ocess.
Bo
i
I dia
a d
aised
i
New
Yo k,
Ga g
g aduated
f om
Stuyvesa t
High
School
a d
New
Yo k
U ive sity’s
Ste
School
of
Busi ess.
He
p eviously
co-fou ded
o li e
stude t
le de
MyRichU cle
a d
fou ded
Bette
i
2014.But
it
was
his
t eatme t
of
employees
that
made
him
i te atio ally
oto ious.
I
Decembe
2021,
Ga g
ab uptly
told
mo e
tha
900
wo ke s
o
a
Zoom
call
that
they
we e
bei g
laid
off,
sayi g
thei
employme t
was
te mi ated
“effective
immediately.”
He
subseque tly
took
a
leave
of
abse ce
amid
the
up oa
befo e
etu i g
as
CEO.Five
yea s
late ,
Ga g
ack owledges
that
episode
badly
damaged
Bette ‘s
eputatio .
Yet
he
i sists
that
he
was
emoved
just
as
the
compa y
was
app oachi g
a
tu a ou d.
“We’ e
wi i g.
We’ve
t ipled
loa
volume.
We’ e
close
to
p ofitability,”
he
asse ted
i
a
CNN
i te view,
desc ibi g
Bette
as
bei g
at
the
“5-ya d
li e”
afte
ebuildi g
the
busi ess.
He
also
said
he
felt
“hoodwi ked”
by
Lewis,
complai i g,
“He
said
he
liked
the
compa y’s
st ategy.
He
p aised
us
o
X
a d
used
that
to
get
o
ou
boa d
a d
wi
ou
co fide ces.”The
compa y,
o ce
valued
at
about
$8
billio
du i g
the
pa demic
efi a ci g
boom,
ow
has
a
ma ket
value
of
oughly
$300
millio .
A ual
sales
plu ged
f om
$1.5
billio
i
2021
to
$70
millio
i
2023,
although
Ga g
says
2026
eve ue
is
o
t ack
to
each
$200
millio .
Bette
has
i c easi gly
bet
o
AI
to
automate
mo tgage
p ocessi g
a d
has
expa ded
i to
home-equity
le di g.Ga g
is
ot
accepti g
his
dismissal
quietly,
hi i g
a
p omi e t
law
fi m
to
egai
the
CEO
positio ,
a d
offe i g
to
wo k
fo
$1
a
yea
u til
Bette
etu s
to
p ofitability.
He
says
he
has
backi g
f om
sha eholde s
holdi g
sha es
with
special
voti g
powe s.“It’s
a
ack owledgme t
that
I’ve
bee
doi g
this
fo
10
yea s,
but
executio
has ’t
bee
pe fect,”
he
co ceded
to
CNN,
addi g,
“I
hope
it
gets
esolved.
I
thi k
the
futu e
still
emai s
ve y
b ight
fo
Bette .”