CEO is taking time off ‘effective immediately’ after a week of scandals

December 10, 2021, 2:44 PM UTC
Getty Images CEO Vishal Garg is taking time off “effective immediately,” according to an email from the company’s board of directors obtained by Fortune

The email, which was sent out on Friday morning, stated that CFO Kevin Ryan will take over day-to-day decisions for the company. A third-party firm will also be hired to perform a “leadership and cultural assessment,” which will be used to “build a long-term sustainable and positive culture.”

Here’s the email:

Good Morning,

Vishal and the Board wanted to provide Better employees an update given the very regrettable events over the last week.

Vishal will be taking time off effective immediately. During this interim period Kevin Ryan as CFO will be managing the day-to-day decisions of the company and he will be reporting to the Board. As well, the Board has engaged an independent 3rd party firm to do a leadership and cultural assessment. The recommendations of this assessment will be taken into account to build a long-term sustainable and positive culture at Better. We have much work to do and we hope that everyone can refocus on our customers and support each other to continue to build a great company and a company we can be proud of.

Better Board of Directors did not immediately respond to Fortune’s request for comment.

The financial startup has landed in hot water recently after Garg abruptly laid off 900 workers via a Zoom call last week. The company has since delayed its plans for a SPAC merger. Fortune uncovered that Garg was also berating the productivity rates of employees on Blind, an anonymous online forum for professionals. He admitted to writing comments that said employees were “stealing” from customers after allegedly working two-hour days. On Tuesday, he sent out a companywide apology for his comments.

“I own the decision to do the layoffs, but in communicating it I blundered the execution,” Garg wrote in that email. “In doing so, I embarrassed you.”

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