Wednesday, 15 March 2017

The Rewards Of Failure? About $23m Apparently


Yahoo wasn't in a good place when it hired Marissa Meyer. Having secured the high-profile, former Google executive to its CEO role, it's probably a given that Yahoo's board weren't expecting to be staring down the barrel of a gun less than five years later.

Nevertheless, through a tenure that has seen value wiped from the business at an astonishing rate, out of control spending with wild bets on companies with no track record of success, multiple security breach scandals and massive job losses; Mayer has massively underperformed expectations; leaving the company in exactly in that position.

So the news she will pocket a handsome $23m payoff when Verizon takes control and replaces her must stick in the throat for out of pocket shareholders and former employees alike.

It's entirely possible that Yahoo was beyond saving when Mayer took control, however it's hard to see how her playbook could have done anything more to damage the business.

Having foregone her bonus after the latest round of security breaches broke, maybe she should do the same with the golden handshake, distributing it amongst the many employees she put out of work.

image: Magnus Höij • CC BY 2.0

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