Do not hide or delete documents, WeWork execs tell employees amid layoffs

Co-CEOs Artie Minson and Sebastian Gunningham sent an email to staffers Wednesday night as 2,400 job cuts begin

National /
Nov.November 21, 2019 02:57 PM
WeWork co-CEOs Sebastian Gunningham and Artie Minson (Credit: Getty Images and Twitter)

WeWork co-CEOs Sebastian Gunningham and Artie Minson (Credit: Getty Images and Twitter)

As thousands of WeWork employees prepare to be laid off this week, the embattled company’s leadership has issued a warning to them: don’t leak information, and don’t delete anything.

In an email sent Wednesday evening from co-CEOs Artie Minson and Sebastian Gunningham, employees were reminded that the company would take violations of its policy “seriously.”

“It has come to our attention that some employees may be considering deleting materials from their WeWork computers, or forwarding information and documents outside of WeWork,” the email read, a copy of which was seen by The Real Deal.

“You should all be aware that company computers are WeWork property and you may not delete or destroy company materials on these devices. Additionally we want to remind you that you may not share information or documents outside of the company.”

When asked, a WeWork representative would not say if a particular incident prompted the email, and declined to comment further.

The email follows a steady string of news reports about the company’s demise, many of which cited anonymous sources. Since abandoning plans to go public at a valuation of $47 billion over the summer and then ousting disgraced CEO Adam Neumann (who received a $1.7 billion golden parachute), the company has been in freefall.

Sources told TRD that as many as 4,000 employees are expected to be laid off in coming weeks, though WeWork said Thursday that 2,400 would be affected globally. It’s unclear if WeWork’s figure includes 1,000 maintenance workers who would be transferred to JLL, or employees at other companies WeWork acquired.

Fear that employees could delete or remove documents is the latest concern for WeWork executives as regulators begin to pick apart the downfall, and probe allegations of self-dealing. Following a whistleblower complaint, the firm is being investigated by the U.S. Securities and Exchange Commission about allegations WeWork executives approved the $42 million acquisition of another office-space startup, Spacious, without going through due diligence — a highly unusual move. The New York Post first reported the investigation.

A separate investigation was launched by the New York State Attorney General’s office to probe multiple transactions involving former CEO Adam Neumann that were scrutinized for potential self-dealing.

The company’s largest investor, SoftBank, last month committed to a $9.5 billion financing package to save WeWork from potential bankruptcy, a payment that included Neumann’s $1.7 billion exit package.


Related Articles

arrow_forward_ios
Wendy Silverstein (Credit: Getty Images)
Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
Wendy Silverstein, co-head of WeWork’s real-estate fund, is out
WeWork CEO Adam Neumann (Credit: Getty Images and iStock)
WeWork’s side businesses are fizzling
WeWork’s side businesses are fizzling
Sarah Pontius (Credit: Union College)
Another head rolls at WeWork
Another head rolls at WeWork
1440 Broadway and CIM Group’s Shaul Kuba (Google Maps, Getty)
CIM closes on $400M refi for 1440 Broadway
CIM closes on $400M refi for 1440 Broadway
1440 Broadway and CIM Group’s Shaul Kuba (Photos via CBRE and Getty)
Here’s what tenants pay at CIM & QSuper’s 1440 Broadway
Here’s what tenants pay at CIM & QSuper’s 1440 Broadway
WeWork CEO Sandeep Mathrani, Adam Neumann and SoftBank CEO Masayoshi Son (Getty/Illustration by Kevin Rebong)
WeWork and SoftBank settle lawsuit
WeWork and SoftBank settle lawsuit
Softbank CEO Masayoshi Son and Adam Neumann (Getty/Illustration by Kevin Rebong for The Real Deal)
Adam Neumann, SoftBank near settlement agreement
Adam Neumann, SoftBank near settlement agreement
WeWork CEO Sandeep Mathrani (Wikipedia Commons, iStock/Illustration by Kevin Rebong for The Real Deal)
WeWork slashes rents in some cities
WeWork slashes rents in some cities
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...