Vishal Garg, CEO Who Fired 900 Over Zoom, Ousted by Better.com Board

The board of Better Home & Finance voted unanimously to remove Garg, who had led the digital mortgage lender through a period of sharp financial losses. Daniel Lewis, a former executive at the company, has been appointed as interim CEO, according to a regulatory filing.

Garg, who co-founded Better.com in 2016, became widely known in December 2021 when he laid off 900 employees during a brief Zoom call, telling them they were being terminated for reasons of productivity and efficiency. The move drew widespread criticism and prompted internal backlash.

The company's financial performance deteriorated after the firing. Better.com reported a net loss of over $300 million in 2022, and its valuation dropped sharply from a peak of $7 billion in 2021. The board's decision followed a review of Garg's leadership and the company's strategic direction.

Garg has disputed the board's action, claiming his termination was without cause and that he was denied proper notice. He has initiated legal proceedings to challenge the ouster, seeking reinstatement or compensation. Better.com has not commented on the lawsuit, but in the filing, the board stated it acted in the best interests of shareholders.

The company, which went public via a SPAC merger in 2022, has struggled amid rising interest rates and a slowdown in mortgage refinancing. Lewis, who previously served as Better's chief operating officer, is tasked with stabilizing operations and restoring investor confidence.