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Spotify CFO cashes in £7.2M in shares after value surges on news of job cuts

100 pointsby keybitsover 1 year ago

14 comments

lgkkover 1 year ago
It’s kind of weird to see people want to work at big corporations but then act surprised or salty about layoffs.<p>It’s nothing personal. You’re a line number even if you’re some leet coder. It’s a business, and it’s a strategy game of utilizing resources. You might have 400k TC but you’re not god you’re a resource.<p>If you think these things aren’t fair or suck, then you should try to move out of the leet coder path and get on the capital owner or business operator side.<p>Sorry but it’s kind of annoying to see people making 200k plus not get this.
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chpatrickover 1 year ago
Spotify is a for-profit enterprise and if laying people off is the right financial choice then he&#x27;s doing his job well. He can sell his shares when he feels like it.
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rogerkirknessover 1 year ago
Why do so many tech executives seem to make the actual worst decisions possible when it comes to symbolic leadership?
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i13eover 1 year ago
Instead of speaking about his right to do this or not, I think this conversation should be about the rise in C-suite executive compensation and Jack Welch style business decisions.<p><a href="https:&#x2F;&#x2F;www.newyorker.com&#x2F;magazine&#x2F;2022&#x2F;11&#x2F;07&#x2F;was-jack-welch-the-greatest-ceo-of-his-day-or-the-worst" rel="nofollow noreferrer">https:&#x2F;&#x2F;www.newyorker.com&#x2F;magazine&#x2F;2022&#x2F;11&#x2F;07&#x2F;was-jack-welch...</a><p><a href="https:&#x2F;&#x2F;www.epi.org&#x2F;publication&#x2F;ceo-compensation-2018&#x2F;" rel="nofollow noreferrer">https:&#x2F;&#x2F;www.epi.org&#x2F;publication&#x2F;ceo-compensation-2018&#x2F;</a>
gamblor956over 1 year ago
For comparison, that&#x27;s enough to have saved almost all of the jobs that were cut...<p>1500 lives were ruined so this guy could add some zeroes to his bank account.<p>(For all those commenting on 10b5 sales: note that the layoffs were timed to match the scheduled sales so that the executives could reap the windfall from the increased stock prices resulting from the layoffs. This has been a strategy for at least a decade now and is drawing increasing scrutiny because it&#x27;s basically an endrun around insider trading rules.)
rco8786over 1 year ago
As always, these sales happen on a predetermined schedule for executives. This has nothing to do with the layoffs.
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candiddevmikeover 1 year ago
Isn&#x27;t this considered insider trading? You&#x27;d think there should be a blackout period around any kind of layoff, similar to how they do with earnings.
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RevEngover 1 year ago
They&#x27;ve reached market saturation, are not profitable, continually fail to find ways to become profitable, and yet they have a nearly $40 billion market cap. Any concept of valuation is meaningless these days.
artursapekover 1 year ago
Spotify jumped 8%, it&#x27;s not like he doubled his money.
halfblindsaltover 1 year ago
The takes in this thread are incredibly poor. They’re poorly informed, they are often contradictory, they are frequently some weird antiwork spillover or something? Bizarre.<p>Basically, if you are interested in actually understanding this, don’t look to the top comments here. Wow.
ulfwover 1 year ago
And now he&#x27;s fired.<p>What a shit show.<p><a href="https:&#x2F;&#x2F;www.theverge.com&#x2F;2023&#x2F;12&#x2F;7&#x2F;23992712&#x2F;spotify-cfo-paul-vogel-leaving-layoffs" rel="nofollow noreferrer">https:&#x2F;&#x2F;www.theverge.com&#x2F;2023&#x2F;12&#x2F;7&#x2F;23992712&#x2F;spotify-cfo-paul...</a>
stetsover 1 year ago
I mean -- do you want him to sell when the price is low?
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maxehmookauover 1 year ago
Sure, lots of people saying it&#x27;s totally legal and &quot;capitalism gonna capital&quot;, which is fair.<p>Except imagine the absolute kicking morale will take as a result of this. I&#x27;m sure it was bad enough, internally, when 17% of staff were made redundant. (I&#x27;m sure their internal channels are pretty salty and uncomfortable right now.) I&#x27;m sure there was plenty of anger internally at the C-levels. PR school would tell them to keep quiet and wait for the storm to pass; _not_ look to be publicly, personally, profiting from it to the tune of many millions of dollars.<p>Poor morale leads to greater attrition of those your company needs to hold on to, especially at an inflection point such as this. It leads to it being harder to hire in the future (and more expensive.)<p>It&#x27;s up to the CFO to decide if that&#x27;s worth it. It may be in the short-term; but long-term it&#x27;s a much tricker equation.
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ulfwover 1 year ago
Of course he does. Now why would anyone want to work for these guys at Spotify (should they ever hire again)?
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