Wefox CEO, a multibillion-dollar digital insurance firm based in Europe, lambasts other colossal tech companies for striking off many workers.
Julian Teicke stated that there needs to be more than considerable layoffs to help individuals struggling to make ends meet with increasing prices. Due to financial troubles, several corporations, including Meta, Twitter, and Amazon, announced the termination of a considerable portion of their personnel. Layoffs, according to the corporations, will assist their particular businesses in coping with the global economy’s bleak condition.
Wefox CEO Teicke, on the other hand, is ‘disgusted’ with how his peers handled the situation. Many venture investors believe that lowering expenses, and layoffs are the best option. Furthermore, stopping recruiting and considerably decreasing the workforce will help offset the higher resource prices.
“I’m a little disgusted by statements like, ‘never miss a good crisis’ [or] ‘we have to cut the fat,'” said Teicke in an interview.
Meanwhile, Sequoia Capital’s Doug Leone stated that investors must devise approaches to deal with the economy’s issues. According to Leone, people that understand how to manage the current situation will fare better in the following years.
“You have a great opportunity in front of you if you play your cards right. You have an opportunity to pass ten cars. So do not waste a good recession,” he said.
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Wefox CEO disgusted with others
Klarna CEO Sebastian Siemiatkowski described himself as “lucky.” Earlier this year, his business cut employment internally, leaving thousands unemployed. However, according to Siemiatkowski, 90% of the laid-off workers have already found new positions. That is why he thinks himself fortunate. However, the Wefox CEO remains unsatisfied with others due to their mishandling.
“If we would have done that today, that probably, unfortunately, would not have been the case,” said Siemiatkowski.
“These are people that have maybe quit other jobs to join your business. These are people that have maybe moved to other places because of you. And these are people that have maybe ended romantic relationships,” Teicke said.
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A massive responsibility of managers
Wefox CEO expressed his dismay, saying that managers and CEOs have a significant role in the lives of their staff. He did, however, emphasize that CEOs must support their staff. And it has become much more pronounced due to the economic difficulties that everyone is experiencing.
“I believe CEOs have to do everything in their power to protect their employees. I haven’t seen that in the tech industry, and I’m disgusted by that. These are humans. I don’t believe in mass layoffs. We’re going to focus on performance but not on mass layoffs,” he said.
Wefox, according to Teicke, will not fire any staff. He also mentions that his firm planned for the worst-case scenario and acquired ‘crisis-resistant’ status. Teicke further stated that Wefox must research the macroeconomic climate to maintain its sustainability in the face of issues in the European economy.
Photo Credit: Wefox