Automattic, the San Francisco-based tech firm greatest recognized for WordPress, has been on the middle of a public spat that escalated over latest weeks. This battle between Automattic CEO Matt Mullenweg and hosting supplier WP Engine has led to the resignation of 159 staff, roughly 8.4 per cent of the corporate’s workforce. Mullenweg’s provide of a beneficiant severance bundle to these dissatisfied along with his management has left many inside the tech neighborhood watching carefully.
159 Employees Settle for $30K Severance Amid Management Disputes
On Thursday, Mullenweg offered a major update on the continued scenario: 159 staff selected to resign after accepting a severance bundle that provided $30,000 or six months’ wage, whichever was greater. Nonetheless, the deal got here with a catch—those that accepted the severance weren’t eligible for re-hiring at Automattic.
The vast majority of the departing staff, roughly 80 %, had been a part of the corporate’s WordPress Ecosystem division, whereas the remaining 20 % labored in Automattic’s different enterprise sectors, similar to apps like Pocket Casts, Day One, Tumblr, and Cloudup.
Mullenweg, who co-created WordPress, framed the mass resignations in a constructive mild. He referred to the severance bundle as an “Alignment Supply” and described the bundle as “essentially the most beneficiant buy-out bundle potential.” In a weblog put up, he defined, “HR added some further particulars to sweeten the deal; we needed to make it as attractive as potential.”
The Emotional Toll of Departures
Although Mullenweg tried to place a constructive spin on the scenario, he admitted that the week had been emotionally taxing. “The day you rent somebody, you are not anticipating them to resign or be fired; you are hoping for a protracted and mutually helpful relationship. Each resignation stings a bit,” he wrote.
Among the many high-profile departures had been Daniel Bachhuber, head of Automattic’s business WordPress internet hosting arm, and Naoko Takano, the previous head of applications and contributor expertise. Their exit marks a major loss for the corporate, which has lengthy prided itself on its WordPress-driven improvements.
The Automattic and WP Engine Feud
The resignations come amid escalating tensions between Automattic and WP Engine, one other main participant within the hosting market. Mullenweg has overtly criticized WP Engine, going as far as to label the corporate a “most cancers to WordPress.” He accused WP Engine of misusing WordPress and WooCommerce logos and even barred them from accessing open-source assets on WordPress.org.
Each corporations have exchanged cease-and-desist letters, and WP Engine has now escalated the scenario by submitting a lawsuit towards Automattic and Mullenweg, accusing them of “abuse of energy,” extortion, and conflicts of curiosity associated to Mullenweg’s position as a steward of the open-source WordPress venture. Automattic, for its half, has denied all of WP Engine’s claims. “I stayed up final evening studying WP Engine’s Grievance, looking for any advantage anyplace to it. The entire thing is meritless,” stated Neal Katyal, Automattic’s authorized consultant.
Backlash and Accusations of Bullying
The stress hasn’t simply been confined to the courtroom. Social media has been abuzz with discussions in regards to the severance provide, and Mullenweg himself has come underneath fireplace for alleged makes an attempt to silence criticism. Former Automattic worker Kellie Peterson claimed that Mullenweg despatched her a direct message on X (previously Twitter), accusing her of attacking the corporate and its management after she posted in regards to the scenario.
“Matt Mullenweg, the CEO of Automattic, co-founder of WordPress, and single level of failure for WordPress.org, is attempting to bully me with authorized threats over my commentary concerning his latest behaviour,” Peterson wrote in a weblog put up on Medium. She included screenshots of Mullenweg’s direct messages, during which he requested her, “Why are you attacking me and Automattic publicly? I’ve by no means been something however tremendous good to you, and we labored collectively for years.”
Peterson responded by clarifying that her commentary was not supposed as an assault, although she expressed considerations about a few of Mullenweg’s latest selections. Regardless of their skilled historical past, she urged him to rethink the route during which he’s main Automattic.
A Divided Workforce
Following the mass exodus, Automattic staff who selected to remain have voiced assist for the corporate and its management. Some posted messages on social media, praising the corporate’s dealing with of the scenario and reaffirming their belief in Mullenweg.
Whereas the corporate’s future stays unsure amid authorized battles and inside unrest, Mullenweg stays centered on persevering with the event of WordPress and its related tasks. He sees the departures as a chance for a recent begin and expressed optimism about Automattic’s route shifting ahead.