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Automattic offers new 9-month buyout package to employees

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Automattic CEO Matt Mullenweg has issued a new ultimatum to his employees — either align with him in this fight or face termination, with no severance. On Wednesday, in a Slack message to Automattic’s remaining staff, he announced a new buyout offer — this time with nine months of severance pay.

This comes after 159 employees accepted a severance package offered by Mullenweg over a disagreement with him.

Mullenweg warned employees that this was their “opportunity to exit gracefully,” hinting that those who did not take the offer and were found leaking information to the press could face immediate termination without severance and possible legal action for breaching confidentiality agreements.

In an internal message, Mullenweg expressed relief over the departures. Describing WP Engine as a “cancer to WordPress,” Mullenweg accused the company of exploiting the WordPress platform for its gain.

In response, WP Engine sued Automattic, alleging extortion and abuse of power, escalating what was initially a series of cease-and-desist letters into a full-blown legal confrontation. Later, Automattic even blocked WP Engine’s access to WordPress servers.

Despite the exodus, not all employees who remain at Automattic support Mullenweg’s actions, reports 404 Media. Some stayed out of financial necessity or due to the difficult job market. Several Automattic employees, speaking anonymously, described a workplace culture now marred by fear and paranoia.

Photo: JHVEPhoto / Shutterstock.com
The fight between Automattic and WP Engine started over the control of the WordPress trademark. | Photo: JHVEPhoto / Shutterstock.com

“Overall, the environment is now full of people who unequivocally support Matt’s actions and those who couldn’t leave for financial reasons,” one employee remarked. Another expressed deep frustration with the situation, saying, “My personal morale has never been lower at this job, and I know I’m not alone.”

The legal battle with WP Engine and the internal strife it has caused have upended the culture at Automattic, a company traditionally known for its emphasis on remote work and openness. Mullenweg’s heavy-handed tactics, which include tracking employee activity on platforms like Blind, have only added to the sense of unease.

Blind, an anonymous workplace discussion forum, became a source of contention after Mullenweg allegedly redirected employees’ verification emails to himself, effectively monitoring who was attempting to sign up for the platform. Blind representatives confirmed that this kind of CEO interference was unprecedented.

“Matt’s interaction with Blind emails was the thing that made me start looking for a new job,” one employee said. Others have turned to an internal message board, Anonymattic, to vent their frustrations, though concerns remain about leadership’s ability to monitor or delete posts on the platform.

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Kumar Hemant

Kumar Hemant

Deputy Editor at Candid.Technology. Hemant writes at the intersection of tech and culture and has a keen interest in science, social issues and international relations. You can contact him here: kumarhemant@pm.me

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