Quote:
Originally Posted by AmeliaG
So people felt it was a scam that the guy acted like his company was bigger than it was? Maybe I don't know what it is like to be an employee, but why should they care so long as their paychecks clear and the company gives value for funds received? Like it's kinda weird, but also kinda jerky that people who worked there took the money up until it was time to provide value to the company they worked for.
I don't know. I'm up early for me, so maybe I'm misreading.
|
Nobody got paid. They were hired on-comission for projects that never closed.
Quote:
They had all agreed to work on a commission-only basis for the first six months. It was only after they passed their probation period that they would be put on a salary - about £35,000 ($47,300) for most. Until then, they would only earn a percentage of every deal they negotiated. They were all young adults looking for work and living through a pandemic. Many felt they had no choice but to accept the terms in their contracts.
But no deals were ever finalised. By February 2021, not a single client contract had been signed. None of the Madbird staff had been paid a penny.
Some recruits ended up leaving after a few weeks, but many stayed. Many had been there for almost six months - forced to take out credit cards and borrow money from family to keep on top of bills.
The longer you worked at Madbird, the harder it became to leave. What if one of the big deals you'd been working on came through next week? It made no sense to resign just as you were about to finish your probation period. For many, a salary seemed within grasp. Plus, in the middle of the pandemic, jobs were hard to find.
It is obvious now why no-one was paid. Madbird had no money coming in. But that wasn't obvious to new staff. They mistakenly assumed their pay contracts were unique - and that their line managers must have been on salaries. Besides, Madbird was on the cusp of signing a whole bunch of deals. The money was finally coming.
|
What he did was a lot worse than exaggerate the size of his company LOL
He used fake social media profiles, fake photos, fake references, etc.