- Mailchimp employees have learned that their health coverage has lapsed after colleagues posted questions in Slack.
- Some have also discovered that their total salary may be lower at Intuit.
- âI imagine we’ll be bleeding people by February,â said an employee.
Some Mailchimp employees say their situation only worsens after learning their business was sold to Intuit in September.
Employees told Insider they discovered their MailChimp health benefits were abruptly terminated on Sunday. Some employees also discovered last week that their total pay as Intuit employees could be lower, several employees said.
âThe general feeling of those I speak to is that the transition has been so poorly managed that the only explanation is that Intuit wants to foster attrition,â said one employee. The employee – along with two other people – requested anonymity as they are not authorized to speak to the media. Their identities are known to Insider.
These employees say they only learned that their health benefits had expired after colleagues posted questions in Slack and during an online onboarding session. One of them found out when he went to get a prescription and was told his coverage had expired.
In a statement sent to Insider, a Mailchimp spokesperson disputed that there had been a disruption in coverage, pointing out that employees were covered by Intuit’s health insurance from Monday if they chose to s ‘to register.
âAs any Mailchimp employee has experienced difficulty with their transition to health insurance, our human resources teams work with these employees to ensure their needs are met,â the spokesperson said.
But employees Insider spoke to said they would only be covered retroactively after the paperwork was finalized, leaving them on the verge of paying an upfront fee. Some employees still had not received their registration documents, they said. Medical appointments for serious health problems were canceled to avoid bills for expensive treatments.
“I am extremely concerned that in a company of 1,200 people, it seems likely that at least one person or dependent will need an emergency room visit before they get their new information and experience it. the stress of a six-figure bill, “said another employee.” Or worse, a supportive colleague who earns 50,000 a year won’t accept a sick child because he is worried about the cost. “
The latest blow follows an outcry that began in September, when employees learned that Intuit was buying Mailchimp for $ 12 billion. The employees were furious, they told Insider, because co-founders Ben Chestnut and Dan Kurzius spent years promising they would never sell as part of their explanation of why they didn’t grant shares to employees, as is customary in technology startups.
Chestnut and Kurzius owned almost all of the business, earning them about $ 5 billion each, making them one of the richest people in America, while their 1,200 employees only got practically nothing.
Then last month, employees have learned the bonuses promised to them as part of the deal would be much lower than they expected.
Reduced benefits mean less pay
Instead of fairness, Mailchimp employees had received relatively generous perks – profit sharing, medical bonuses paid by the company, as well as home work and cell phone allowances.
But employees lose most of the benefits at Intuit, and as a result, many employees calculate that their total salary will be reduced as an Intuit employee.
âIn a meeting with my team, we talked about it a lot and there were a lot of swear words going around,â one employee said. “Ben and Dan are billionaires and we have to figure out how to pay our mortgages.”
Half of 124 employees who responded to a survey on Blind, an anonymous employee forum consulted by Insider, said they were facing a pay cut of between 5% and 20%.
A spokesperson for Intuit said the company “worked to ensure that employees did not have a negative financial impact as a result of the transition to Intuit.”
The spokesperson said that Intuit was offering employees “competitive salaries, bonuses and large stock grants in the form of restricted stock units (RSUs)” and the company promised to “review roles and remuneration in the future “.
Aware of Intuit’s Slack channels
Some employees also found it odd that they were asked not to join Intuit’s Slack workspace as it would be “distracting” for their new colleagues.
âI know it’s tempting to start joining all Slack channels and requesting access to material that looks interesting, but please don’t,â the post said, which was seen. by Insider.
Employees who spoke to Insider say the way they were treated during the transition was so frustrating that they believe many Mailchimp employees are going to quit.
A Mailchimp spokesperson said that attrition so far has been minimal with 99% of employees joining Intuit. However, employees Insider spoke to said they were actively looking for other jobs, and their coworkers had no hesitation in openly telling their managers that they had little choice but to go. Some longtime staff engineers and an engineering manager are among those who have already left.
An employee tried to post a heartfelt goodbye to longtime coworkers on Slack. âI will miss my Mailchimp mates very much and sincerely wish you the best in this new Intuit business,â the employee wrote.
But most of the employee’s co-workers never saw the post because a company manager told the employee not to post a farewell post – positive or negative – on Slack.
âI imagine we’ll be bleeding people by February,â said an employee.