Sun. May 22nd, 2022
Laid-off Peloton workers crashed an all-hands meeting with the company’s new CEO, cutting it short: report
  • Peloton held an all-hands meeting on Wednesday, one day after it started laying off 2,800 employees.
  • Laid-off workers crashed the meeting, CNBC reported.
  • A chat between new CEO Barry McCarthy and his predecessor John Foley was cut short, per CNBC.

Laid-off employees crashed Peloton’s first virtual all-hands meeting with the company’s new CEO on Wednesday, CNBC reported.

The meeting took place a day after Peloton started laying off 2,800 workers on the back of falling demand for the company’s home-fitness products as consumers return to gyms.

The event was meant to introduce new CEO Barry McCarthy, but was hit by a barrage of angry comments from current and laid-off staffers in the chat section, CNBC reported. They accused the company of mismanagement, according to outlet, who cited three people familiar with the details of the meeting.

“I’m selling all my Peloton apparel to pay my bills!!!” said one person, according to the news outlet, citing messages it obtained.

“This is awfully tone deaf,” wrote another.

A conversation between McCarthy and former CEO John Foley was unexpectedly cut short, the outlet reported. Foley will become the company’s executive chair, Peloton said on Tuesday.

He had emailed all Peloton staff late Tuesday afternoon to motivate them, telling employees he’s at the company for the “comeback story,” according to a leaked memo, as reported by Insider’s Becky Peterson.

In the email, he also acknowledged the “bitter pill” of laying off about 20% of the company’s 14,000-person corporate workforce. The job cuts are expected to contribute to savings of at least $800 million a year, the company said in its news release. Instructors are not affected by the job cuts.

Peloton said it will be offering a “meaningful cash severance allotment” and extending equity-vesting periods for laid-off employees. It is also offering them a free one-year Peloton subscription, per a message Foley posted on the company website.

Peloton did not immediately reply to Insider’s request for comment.

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