Automattic

WordPress Co-Founder Offers $30,000 to Employees Who Disagree

Matt Mullenweg speaking about employee resignations at Automattic

Automattic CEO's Bold Offer: A Shocking Move Amidst Dispute

In a surprising turn of events, Matt Mullenweg, the CEO of Automattic, has extended an unprecedented offer to employees: $30,000 or six months of their salary to resign if they disagree with his current stance against WP Engine, a major player in the WordPress hosting market. This offer was made public in an update shared on Thursday evening, revealing that 159 employees, or 8.4% of the workforce, chose to accept this separation package.

Background: The Dispute with WP Engine

Automattic, the company behind popular platforms like WordPress.com, has found itself embroiled in a public dispute with WP Engine following Mullenweg's severe criticism of the hosting service. He referred to WP Engine as a ‘cancer’ to the WordPress community and subsequently banned the service from using WordPress.org, calling into question its commitment to the open-source philosophy of WordPress.

Mullenweg's Allegations Against WP Engine

Mullenweg has alleged that WP Engine is infringing on WordPress's trademark rights and has accused the company of failing to contribute to the WordPress open-source project. The tension escalated on Wednesday when WP Engine, backed by private equity firm Silver Lake, filed a lawsuit claiming that Mullenweg and Automattic are engaging in extortion tactics.

In response, Automattic dismissed the lawsuit as "baseless," emphasizing that these claims are part of a broader attack against the company and its leadership.

The Impact of Mullenweg's Offer

In his update, Mullenweg expressed his recognition of the mixed feelings among his colleagues regarding the ongoing conflict with WP Engine. He gave employees until October 3rd to consider his offer, noting that those who left would be ineligible for rehire. The majority of resignations occurred within the WordPress ecosystem division, where a staggering 79.2% of those accepting the offer were employed.

Reflections from Mullenweg

Mullenweg described the week as "an emotional roller coaster" but expressed a renewed sense of optimism following the departures. "I feel much lighter. I’m grateful and thankful for all the people who took the offer, and even more excited to work with those who turned down $126 million to stay," he stated, reflecting on the commitment of those remaining.

Notable Departures

A significant resignation from the team included WordPress executive director, Josepha Haden Chomphosy, who confirmed her departure in a now-deleted post on social media. This high-profile exit underscores the potential impact of the ongoing conflict on the wider WordPress community and its leadership.

Conclusion: What Lies Ahead for Automattic and WordPress

The developments at Automattic raise questions about its future direction and the implications for the broader WordPress ecosystem. As the company navigates these turbulent waters, many in the community will be paying close attention to how Mullenweg’s leadership and the divided workforce affect the platform's reputation and operational effectiveness going forward.

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