is this a true rumor?
6 replies (most recent on top)
They often hire, then fire. They'll hire again, after they burn out the last batch of people and fire about 9-11 months before the 1 year mark for any stock payout for benefits for employees and more. It's a traditional method they use along with rampant workplace alcoholism, pressure, unbalanced workloads and more. Anything like having a life outside of the office is frowned upon...
Startups: Quick to hire quick to fire
Like many startups they lack the financial stability to work for long term goals and run off debt. They're paying massive debt and have massive debt and take out more debt. While ignoring any debt amounts and all investing they ultimately have a cash flow positive. But this is undermined by massive "investments" which then undermines 500+ million on their investment. They of course look good as they took out "loans" to make sure it shows they have positive cashflow for this.
Will it pay off?
Who knows. Ultimately they make new products like many startups and may have a market lead if they're luck for a few years. But this ultimately means any market will catch up and compete, then the high profitable margins become a cost effective comparison between products. When that happens the company gets many competitors doing the same, better at cheaper prices or even just the same but worse and better prices.
That then makes it trickier for a company to compete. When that happens it's especially so when the company isn't profitable or exceeding its debt issues. The long term market forecast means it will be at uphill battle for competition.
This further means the lucrative high paying jobs will not be as available and talent will stagnate or not be as available. More work hours, burnout and exodus of critical staff (which has happened) as the company stumbles forward for profitability.
Estimates indicate market slowdown and the tax cuts won't last forever so the current green mode isn't a good indication as it's barely in the green. Will this pay off? Who knows...
Hiring freeze with 200+ plus new hires this Q?
Does it have to do with the revenue per employee declining? Just read this:
It’s not a rumor... It’s happening not just at Pure but at Cohesity as well. Cohesity layoffs are run the same way.
The company traditionally does unbalanced work, micromanagement, performance reviews and more to basically make the company highly toxic for employees. Then anyone reporting time off, sick time or medical concerns are usually pushed/micromanaged more so with more unbalanced work to then make them leave or fire them on the last day of the month so they lose insurance due to this "known performance review". While they state there isn't a performance metric for work there is, and they always quote these numbers when they're working on reducing staff & getting rid of people.
That way they don't have to formally layoff people but just get rid of people after pressuring people and burn them out so they can then hire new people to start the process over again at a cheaper price. I'd be especially cautious if you're hired in a Right to Work state where this is more common practice than others but it's still the same no matter which location you work at.
YES and hiring freeze