In the wake of hundreds of tech employees (and counting) being laid off across the industry, it’s important to remember CEOs who sacrificed for the good of their companies. Back in 2023, Zoom CEO Eric Yuan made headlines that resonated with employees around the globe by standing in solidarity with his workforce.
In a candid email to Zoom employees, Yuan acknowledged the company’s recent layoff announcement, which was expected to impact approximately 1,300 workers worldwide. This revelation came as Zoom, a video communications company, experienced explosive growth propelled by the global pandemic and the widespread shift to remote work. Yuan, who founded the California-based company in 2011, found himself at the helm of a company navigating unprecedented demand and a rapidly changing work-from-home culture.
However, it wasn’t the layoffs that made headlines: it was Yuan’s announcement of a staggering 98% reduction in his own salary, coupled with the decision to forgo any bonuses, that stood out. Yuan, who played a pivotal role in steering Zoom through its peak in October 2020, when the stock reached an impressive $559 per share, demonstrated a commitment to accountability rarely seen in corporate leadership.
“As the CEO and founder of Zoom, I am accountable for these mistakes and the actions we take today. I want to show accountability not just in words but in my own actions,” Yuan stated in his email to employees.
Yuan attributed the need for layoffs to the pandemic-induced rollercoaster that led to rapid expansion without adequate assessment of teams and sustainability. Yuan’s empathetic approach distinguished itself in light of the recent tech layoffs across the board.
Other Zoom executives also pledged solidarity, accepting pay cuts of 20% and relinquishing bonuses for that year. This collective sacrifice sends a powerful message about shared responsibility and the ethos of a company facing adversity.
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