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Automattic Offers Employees Another Chance to Quit With Nine Months’ Severance Package

October 17, 2024

In a surprising turn of events, Automattic CEO Matt Mullenweg has floated a new offer to employees who want to leave the company. This comes just days after 159 people accepted his initial offer of a six-month severance package.

New Offer: Nine-Month Severance Package

The new offer is for a nine-month severance package, which would allow employees to leave the company immediately. However, there’s a catch – employees who accept this offer would lose access not only to Automattic but also to WordPress.org. This means that they wouldn’t be able to contribute to the open-source project under their existing ID.

Impact on Employees

Losing access to WordPress.org would effectively ban employees from the WordPress community. This is a significant blow, especially considering that Mullenweg owns and controls WordPress.org’s open-source site.

Background: Automattic vs. WP Engine

The current situation between Automattic and WP Engine started nearly a month ago when Mullenweg called WP Engine "a cancer to WordPress" and accused the independent firm of not contributing enough to the WordPress open source project. The fight has involved cease-and-desist letters, Automattic accusing WP Engine of violating trademarks, a lawsuit by WP Engine, and WordPress.org blocking WP Engine’s access and taking over a plug-in it had been maintaining.

Previous Offer: Six-Month Severance Package

The initial offer was aimed at people who didn’t align with Mullenweg’s views on Automattic’s fight with WP Engine. The first batch of people who left Automattic included top employees, including the head of WordPress.com (Automattic’s commercial WordPress hosting arm), Daniel Bachhuber; head of programs and contributor experience Naoko Takano; principal architect for AI, Daniel Walmsley; and WordPress.org’s executive director Josepha Haden Chomphosy.

What’s Next?

It remains to be seen whether any employees will take up the new offer. Automattic’s headcount currently stands at 1,731, according to its website, a few hours ago it stood at 1,732. The company didn’t comment on the story by the time of publication.

Timeline: Key Events

  • October 10, 2024: Mullenweg calls WP Engine "a cancer to WordPress" and accuses the independent firm of not contributing enough to the WordPress open source project.
  • October 11, 2024: Automattic sends cease-and-desist letters to WP Engine.
  • October 12, 2024: WP Engine files a lawsuit against Automattic.
  • October 13, 2024: WordPress.org blocks WP Engine’s access and takes over a plug-in it had been maintaining.
  • October 16, 2024 (evening): Mullenweg floats new offer of nine-month severance package to employees who want to leave the company.

Conclusion

The situation between Automattic and WP Engine continues to unfold. It remains to be seen how this will impact the WordPress community in the long run. One thing is certain, however – the drama surrounding this issue has caught the attention of many in the tech industry.

Related Topics

  • Venture Capital: What will this year bring in VC? We asked a few investors.
  • Startups: Inside the wild fall and last-minute revival of Bench, the VC-backed accounting startup that imploded over the holidays.
  • Media & Entertainment: The WordPress vs. WP Engine drama, explained.

Contact the Author

If you have any questions or comments, please feel free to reach out to the author at im@ivanmehta.com or on Signal at @ivanmehta.

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