Wayfair CEO Niraj Shah’s Holiday Wish: Employees Not ‘Shy Away’ From Long Working Hours
- In the end of the year email sent before Christmas, the Indian American said that although the company is currently profitable, he needs everyone to be “aggressive, pragmatic, frugal, agile, customer oriented, and smart.”
The pandemic significantly changed corporate habits with an emphasis on remote work, flexibility, and work-life balance. However, off late, several executives have been pushing to return to work and focus on productivity and extended working hours. One of them is Wayfair CEO Niraj Shah, who recently sent employees an end-of-year email asking them to not “shy away” from long hours, “blending work and life,” and “being responsive,” and reminding them that “laziness is rarely rewarded with success.”
Business Insider first reported about the email sent before Christmas. “Winning requires hard work,” wrote Shah, who is worth an estimated $1 billion. “I believe that most of us, being ambitious individuals, find fulfillment in the joy of seeing our efforts materialize into tangible results.” Shah wrote to employees, as per the report.
He also told them that he was concerned to have heard of some outdated or inaccurate “Nirajisms” or phrases that begin with “Niraj said,” the report added. ‘The one I would reference here that I heard was ‘Niraj said that he does not think that we should work late’. I would suggest that this is laughably false,” he wrote. “Hard work is essential for success, and a key part of getting things done. Everyone deserves to have a great personal life — everyone manages that in their own way — ambitious people find ways to blend and balance the two.”
He warned employees that hard work is still required despite a successful year where repeat customers are back. “Winning feels good – and is a great reward for all of our effort.” The company’s “market share is growing nicely, our repeat is increasing, our suppliers are leaning in, and we are profitable,” he said, adding: “This is something to be very proud of.” Still, there’s “some work to do to make sure that we get fully back. And this is what I want us all to push on in the weeks and months to come.” He continued: “Together, we can win much faster than we are winning now if we all row in this direction together. Let’s be aggressive, pragmatic, frugal, agile, customer-oriented, and smart.”
The e-commerce company based in Boston, Massachusetts that sells furniture and home goods online, was cofounded by Shah. Formerly known as CSN Stores, it was founded in 2002, and currently offers 14 million items from more than 11,000 global suppliers, according to its website. It first turned a profit in 2020 during the pandemic furniture boom. Right before the pandemic, the company “engaged in cost-cutting measures, including layoffs,” Business Insider reported. But during its most recent company earnings, posted Nov. 1, it “reported a loss of $163 million in the third quarter, which had significantly narrowed year-over-year from a $283 million loss in Q3 2022.”
However, the company’s stock was up nearly 10% last month — and is up nearly 74% so far this year. Still, over five years, it’s down 45% when compared to the broader stock market, which is up 81% over the same timeframe. Employment website Indeed notes that the average warehouse associate at Wayfair earns around $18 per hour, and most of its employees are required to work on-site.
Shah’s remarks received backlash on Twitter. “Every single employee at Wayfair should quit after that email from Niraj Shah,” opined one Twitter user. “Agreed! But they should absolutely steal anything not nailed down first!” responded another.
Hiring manager turned certified career and resume strategist Sweta Regmi wondered why “some South Asian men leaders still stuck with the old mindset?’
Why are some South Asian Men leaders still stuck with the old mindset?
— Sweta Regmi, CCS, CRS (@swetaregmi) December 30, 2023
Not choosing to work long hours comes with privilege & doesn't define laziness. Women are impacted more.
I was tagged to provide insights in the #nirajshah #wayfair email.
Here was me being me 👇. pic.twitter.com/ZnuTWBwjdG
Responding to the criticism on social media, a Wayfair spokeswoman told Business Insider that the note from Shah “wasn’t intended as an end-of-year or holiday message,” The CEO “routinely writes memos reinforcing Wayfair’s corporate values, and this one was partly inspired by conversations he had on recent visits to other Wayfair offices,” the statement added. “We are incredibly proud of our world-class team and culture of open communication.”