"I want us all to push on in the weeks and months"
Niraj Shah came under fire for using his end-of-year message to tell employees they need to work harder and that “laziness” is not often “rewarded with success”.
The Wayfair CEO issued a note to staff to celebrate the company’s recent success as it became profitable once again.
The email read: “Working long hours, being responsive, blending work and life, is not anything to shy away from.
“There is not a lot of history of laziness being rewarded with success.”
Mr Shah encouraged workers to think of the company’s money they spend as their own and to negotiate prices.
Despite a successful year, Mr Shah warned employees that hard work is still required.
He wrote: “Winning feels good – and is a great reward for all of our efforts.
“Our market share is growing nicely, our repeat is increasing, our suppliers are leaning in, and we are profitable. This is something to be very proud of.
“We still have some work to do to make sure that we get fully back. And this is what I want us all to push on in the weeks and months to come.
“Winning requires hard work. I believe that most of us, being ambitious individuals, find fulfilment in the joy of seeing our efforts materialise into tangible results.
“Would you spend money on that, would you spend that much money for that thing, does that price seem reasonable and lastly — have you negotiated the price?
“Together, we can win much faster than we are winning now if we all row in this direction together.
“Let’s be aggressive, pragmatic, frugal, agile, customer-oriented, and smart.”
On average, warehouse associates at Wayfair earn $18 per hour and most employees are required to work on-site.
Niraj Shah also highlighted inaccurate phrases, which have been attributed to him.
The email continued: “The one I would reference here that I heard was ‘Niraj said that he does not think that we should work late’.
“I would suggest that this is laughably false. Hard work is essential for success, and a key part of getting things done.”
Wayfair customers slammed the billionaire for his message and vowed to boycott the online furniture company.
One user said: “Hey Wayfair CEO Niraj Shah. I will no longer purchase anything from Wayfair over how you treat your employees so long as you remain CEO.”
Another said: “Let Wayfair know won’t buy their products until Niraj Shah recognises their workers as human beings and not chits/widgets.”
A third commented: “Bye Wayfair. There’s a chair I wanted but it’s out of stock. I won’t be buying anything from your company.”
Wayfair’s recent profits come after it underwent several cost-cutting measures including laying off five percent of its workforce in 2022.
It reported a loss of $163 million in the third quarter of 2023 compared to $283 million lost in the same quarter last year and the company’s stock is 74% up so far in 2023.
Niraj Shah co-founded Wayfair in August 2002 and he was worth an estimated $3.6 billion in 2021. But in 2022, this dropped to $1.6 billion and it has fallen even further in 2023.
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