Coinbase, one of the world's largest cryptocurrency exchanges, notified employees who had previously accepted employment offers by mass email that the business was revoking the offers.
One receiver criticised the communication as "unprofessional."
In a Thursday blog post, Coinbase's Chief People Officer L.J. Brock said that the company was rescinding some employment offers and suspending recruitment, citing the need to “navigate this macro environment and emerge even stronger.”
Coinbase's fortunes have been badly impacted by the recent bitcoin market decline. Since November, the price of Bitcoin has decreased by more than half. Additionally, investors have cooled on cryptocurrencies.
In consequence, the company's share price hit rock bottom in May and, despite a subsequent recovery, is now 80 percent below its launch price.
Thursday evening's email transmission. The subject line said "Update to your Coinbase offer."
The email from Coinbase said “we have made the very difficult decision to rescind your offer of employment at Coinbase” and the applicant will “no longer be starting with us on your previously agreed start date.”
The email promised a two-month severance settlement, establishment in the team's "Talent Hub" with tools and services, and a commitment to provide "high-quality job search benefits."
A receiver who was scheduled to begin working for Coinbase in late June told Insider that he emailed the company as soon as he got the letter.
After submitting his reply, he was contacted by a Coinbase human resources manager.
According to the receiver, the manager indicated that the organisation needed to make a "prudent decision" in order to prepare for the "foreseeable future," which led to the withdrawal of the employment offer.
He told Insider, “What do they mean by their future?” and questioned, “Do they not see my foreseeable future that’s now uncertain?”
The person stated, “The way they handled this, was very unprofessional.”
“I’m very bitter with how there were no details and lack of documentation over how they came to this decision,” they added.
By fLEXI tEAM