Saudi Press

Saudi Arabia and the world
Saturday, Sep 07, 2024

Spotify's CEO sent a memo announcing layoffs. It also contained 'a powerful example of toxic positivity.'

Spotify's CEO sent a memo announcing layoffs. It also contained 'a powerful example of toxic positivity.'

Daniel Ek would have been wise to display empathy and explain how cutting about 6% of Spotify employees would help strengthen the company as a whole.

"Hi, it's me, your friendly neighborhood CEO with a net worth of about $2 billion who stands to benefit from some changes that might include you losing your job."

This might as well have been the message Spotify CEO Daniel Ek shared in a memo announcing layoffs at the company.

In the memo, which was published on Spotify's website Monday, Ek described what would happen now that the company had announced plans to lay off about 6% of its work force. That would come to about 588 employees based on the global work force the company reported with its third-quarter earnings.

Ek wrote about forthcoming changes in the C-suite, then said: "Personally, these changes will allow me to get back to the part where I do my best work — spending more time working on the future of Spotify — and I can't wait to share more about all the things we have coming."

His excitement seemed discordant with the announcement that came a few paragraphs later: "We've made the difficult but necessary decision to reduce our number of employees."

Spotify joins a wave of high-profile tech companies that have conducted mass layoffs in the past few months. Memos from the CEOs of these organizations announcing the layoffs have varied from empathetic and self-flagellating to sparse bordering on callous.

Ek's memo is otherwise unremarkable. He mentions the support Spotify will provide to outgoing employees and expresses confidence in the company's future, for example. But leadership experts say Ek's note about the career opportunities the C-suite reorganization affords him is inappropriate in this context.

"People want empathy and sympathy and a focus on what's happened to them" during layoffs, said Adam Galinsky, a professor of leadership and ethics who's the vice dean for diversity, equity, and inclusion at Columbia Business School.

Of Ek's comment about doing his best work, Galinsky said, "That's just completely lost here."


Ek's comment about his own career opportunities might come across as tone-deaf


In the memo, Ek wrote that the layoffs and the reorganization of Spotify's C-suite would help the company become more efficient, make more-effective decisions, and save money. He held himself accountable for the situation and reassured remaining employees that the company was stable — two elements of a layoff announcement that experts say are critical.

"In hindsight, I was too ambitious in investing ahead of our revenue growth," Ek wrote. "I take full accountability for the moves that got us here today."

He added: "It's my belief that because of these tough decisions, we will be better positioned for the future."

But letting employees know how his job will be getting better when he can focus on the company's future is somewhat tone-deaf, experts said.

"Talking about, or in any way putting oneself at the center as 'what's in this for me' is not appropriate in this kind of note," Coco Brown, the CEO and founder of Athena Alliance, an executive-development network for women, wrote in an email to Insider.

"This is a powerful example of toxic positivity," Brooks Scott, an executive coach and the CEO of Merging Path Coaching, wrote in an email to Insider.

"Focusing on 'personally, me, I, and my' detracts from what employees are going through," Scott added. "What people are looking for is an acknowledgment of the hard work they've done in the past, and some empathy for the present."

Galinsky said the "subtext" of Ek's comment about his own career opportunities was, "I want to get back to being the visionary I can be." Ek might instead have commented on how the reorganization would give the company as a whole "the resources it needs to be able to help those that are going to stay with Spotify, create a better organization that's going to grow, and maybe hire more people in the future," Galinsky added.

The standard CEO memo announcing layoffs can seem formulaic, Galinsky said. You make the announcement, you express regret, and you tell customers, investors, and remaining employees that the company is in a good position. It's possible (though Galinsky can't say for sure) that Ek wanted to depart — if only slightly — from these conventions.

Still, "the formula exists for a reason," Galinsky said, adding: "The formula is to express remorse and regret that you're having to take this action but the actions ultimately support a brighter future for this company."

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Gaza War Marks Its 12th Month
Saudi Arabia Honors Cultural Pioneers Amidst Broader National Challenges
Jill Stein Criticizes US-Israel Ties, Pakistani Academic Defies Norms, and Tragedy Strikes British Tycoon: Today's Top Stories
Riyadh Mayoralty Inaugurates Second Nursery and Saudi Red Crescent's Air Ambulance Heroics Highlight Healthcare Advancements Amidst Regional Tensions
Iran's Missile Support to Russia Raises Global Tensions; Saudi Minister's Innovation Tour in Hong Kong Amid Middle Eastern Conflicts
Saudi Arabia Slashes Customs Fees and Introduces New Yacht Regulations under Vision 2030
Saudi Arabia Eyes Strategic Green Hydrogen Partnerships with Europe Amid Varied Global Crises
Libya Migrant Crisis and Global Tensions: From Deadly Shipwrecks to International Protests and Defense Initiatives
Gaza’s Children Face Grim Future as Conflict Halts Formal Education for Second Year
Escalating Ethnic Violence in Manipur Closes Schools; North Korea's Balloon Stunt Roils Seoul; Pope Calls for Peace in Papua New Guinea Amid Global Tensions
Tim Walz Advocates for Palestinian Rights Amidst Tensions in Gaza, Highlighting Humanitarian Concerns
Saudi Achievements in Cloud-Seeding and Mining Collaborations, Global Calls for Ceasefire, and Biden's Diplomatic Moves
Global Developments: UK Targets Smugglers, Ukraine Seeks Aid, and Thailand Welcomes Youngest PM
U.S. Probes Shooting of Turkish-American Activist by Israeli Forces; NATO Urges China to End Russia Support; Emergency Landing in Turkiye Amid Bomb Threat
Saudi Arabia to Host Groundbreaking Exhibition of Chinese Contemporary Art in Diriyah
Griffon Vultures Revive, New Sports Academy, and FinTech Booms: Saudi Arabia's Multifaceted Progress
Global Unrest: Elephants Rescued in Myanmar, NATO's Appeal to China, and Food Prices Fluctuate Amid Growing Crises
Toronto Film Festival Kicks Off Amid Protests, Tragedy Strikes Kenyan School, Saudi Real Estate Loans Surge, Philippines Ex-Mayor Faces Charges, China Halts International Adoptions, World's Largest Indoor Ski Resort Opens in Shanghai
Rare Eurasian Griffon Vulture Colonies Discovered in Saudi Reserve Amid Global Vulture Awareness Efforts
Israeli Withdrawal from Jenin, Pope Francis's Indonesian Visit, and Global Events Highlight a Turbulent Week
UK Bolsters Ukraine's Defense Amid Russian Attacks; US Commits Millions to Aid Haiti; Hunter Biden Faces Tax Evasion Charges; Trump Plans Antisemitism Crackdown and Federal Overhaul
Global AI Summit in Riyadh Highlighted by Commemorative Passport Stamp Amid Global Turmoil
Muvi Cinemas Launches Sensory-Friendly Sessions for Children with Autism in Saudi Arabia
Saudi Arabia's Vision 2030: Housing Success, Women's Achievements, and New Regulations Propel Kingdom to Economic Growth
Algeria Votes Amid Tebboune’s Expected Victory; UK Universities Seek Higher Tuition Fees; Egypt Holds Interest Rates Steady; IMF Praises Saudi Housing Program; OPEC+ Extends Oil Supply Cuts
Saudi Arabia’s NHC Dominates GCC Real Estate as UAE Celebrates First Nuclear Plant Amid Regional Tensions and OPEC+ Oil Cuts
NATO Backs Ukraine's Historic Offensive in Russia, Saudi Arabia's Fintech Boom, and Global Health and Political Updates
Saudi Arabia's Fintech Boom, Taif's WHO Milestone, and New Geological Museum Highlight Economic and Environmental Advances
From the Rubble in Gaza to European Leadership Shuffles: A Snapshot of Global Crises and Initiatives
Global Tensions Rise: Putin Blames West, U.S. Hostage Families Plea, and UK Suspends Arms to Israel Amid Legal Debates
Global Dynamics: Saudi-Russia US Prisoner Swap, Saudi Health Achievements, Rising Cultural Tourism, Arrests, and Worldwide Activism
Global News Roundup: Weinstein Charges Dropped, Macron Appoints Barnier, US-Russia Prisoner Swap, and Saudi Economic Surge
Mongolia Refuses to Arrest Putin Despite ICC Warrant
France Pilots Mobile Phone Ban in Schools
WHO-Led Study Finds No Link Between Mobile Phones and Brain Cancer
US Charges Hamas Leaders With Terrorism Over October 7 Attack on Israel
Hossein Shamkhani: The Rise of an Oil Tycoon
UK Suspends 30 Arms Export Licenses to Israel: Details and Implications
Biden Criticizes Netanyahu Over Hostage Crisis
Macklemore Cancels Dubai Show Over UAE’s Role in Sudan Conflict
Elon Musk Warns of US Bankruptcy Due to Government Overspending
Iranian President's Helicopter Crash Attributed to Bad Weather
Nvidia: From Gaming to Global Tech Dominance
Israeli Hostage Rescued in Complex Gaza Operation
Heist of the Century: $2.5 Billion Stolen in Iraq
Russia and Ukraine Exchange 115 Prisoners of War Each in UAE-Brokered Deal
Gen-Z Globe-Trotter Calls Egypt 'Most Annoying'
Hamas and Islamic Jihad Claim Responsibility for Tel Aviv Bomb Blast
Tsimane Tribe: Secrets to Health and Slow Ageing
Extensive Forest Fires Force Evacuations in Izmir, Turkey
×