This viral memo from CEO of US online retailer sparked major backlash, leading to calls for 'boycott'
Wayfair is set to cut 1,650 jobs, representing 13 per cent of its workforce, following a recent memo from CEO Niraj Shah that stirred controversy. The memo, leaked to the media, urged employees to work longer hours and drew criticism from both workers and the public.
Wayfair, known for its home goods and furniture offerings, has faced several rounds of layoffs in recent years as the furniture market cooled off post-pandemic. The Boston-based company, which had approximately 14,000 employees as of early 2023, cited the need to align with its core principles and address past overhiring as reasons for the latest job cuts.
In the leaked memo, Shah acknowledged the company's recent successes, including a 3.7 per cent increase in sales to $2.9 billion for the quarter ending Sept. 30, 2023. However, he emphasized the need for employees to be «more aggressive, pragmatic, frugal, agile, customer-oriented, and smart» to maintain and further the company's success.
Backlash And Calls For Boycott On Social Media
While Shah's emphasis on hard work and dedication resonated with some, the memo faced widespread backlash. Netizens expressed their displeasure on social media, with some users declaring their intention to boycott Wayfair over the CEO's work ethic. Calls for unionisation of Wayfair's workers also emerged in response to the perceived pressure for longer hours.
«I'm boycotting and not purchasing anything from this greedy company,» one user posted on social media.
Shah's call for increased dedication came amid positive financial results for Wayfair, including a reduced net loss of $163 million in 2023, down 42 per cent from $283 million in the previous year. The CEO attributed these improvements to the company's market
