1 00:00:00,040 --> 00:00:04,760 Speaker 1: It's we Work is growing super fast, which means it's 2 00:00:04,840 --> 00:00:08,000 Speaker 1: hiring a lot of new people. And every Monday at 3 00:00:08,000 --> 00:00:11,200 Speaker 1: we Works headquarters in New York City, that means one thing. 4 00:00:11,840 --> 00:00:17,840 Speaker 1: New hire orientation orientations were massive. They were huge, Like 5 00:00:17,880 --> 00:00:19,880 Speaker 1: they were every Monday almost. I feel like they were 6 00:00:19,880 --> 00:00:24,439 Speaker 1: almost every single Monday, huge breakfast spread. Cody Quinn was 7 00:00:24,480 --> 00:00:27,240 Speaker 1: an executive assistant at we Work. You know, they've got 8 00:00:27,240 --> 00:00:34,520 Speaker 1: like a projection screen every single morning you walk in, Um, 9 00:00:34,600 --> 00:00:38,519 Speaker 1: what's that song? It's um Coldplay. Adventure of a Lifetime 10 00:00:38,680 --> 00:00:43,320 Speaker 1: was blasting, and everybody's walking around and like fifth pumping 11 00:00:43,600 --> 00:00:46,559 Speaker 1: and like all these new hires are high fiving and 12 00:00:46,640 --> 00:00:49,640 Speaker 1: people are standing up and whooping, and I'm like, what 13 00:00:50,280 --> 00:00:54,880 Speaker 1: is happening now? It like so that was the first 14 00:00:54,880 --> 00:00:57,600 Speaker 1: time that I really had this like holy moly, this 15 00:00:57,760 --> 00:01:01,760 Speaker 1: feels cultish, wow wow. Because like and then you've got um, 16 00:01:01,800 --> 00:01:04,760 Speaker 1: somebody from HR like doing a presentation and they're just 17 00:01:04,800 --> 00:01:07,720 Speaker 1: like I was excited to the air. It's like just 18 00:01:07,959 --> 00:01:10,800 Speaker 1: it's crazy, like a Pepper rally. It was nuts. It 19 00:01:10,880 --> 00:01:14,440 Speaker 1: was absolutely nuts. Honestly, it's still to this day blows 20 00:01:14,480 --> 00:01:18,959 Speaker 1: my mind. You're listening to Foundering, I'm your host, Ellen Hewitt. 21 00:01:19,600 --> 00:01:22,600 Speaker 1: In the previous episode, we heard about the explosive growth 22 00:01:22,640 --> 00:01:25,200 Speaker 1: in the early days of We Work. The company was 23 00:01:25,240 --> 00:01:28,720 Speaker 1: opening building so fast that they were launching new offices 24 00:01:28,959 --> 00:01:32,680 Speaker 1: literally without doors, without bathrooms, with the paints still drying 25 00:01:32,680 --> 00:01:37,120 Speaker 1: on the walls. This episode is about hype. As we 26 00:01:37,120 --> 00:01:40,320 Speaker 1: Work kept growing, It's CEO, Adam Newman, used a very 27 00:01:40,480 --> 00:01:45,720 Speaker 1: Silicon Valley combination of myth making and salesmanship to accelerate 28 00:01:45,760 --> 00:01:48,800 Speaker 1: we Works expansion, and he used it to pump up 29 00:01:48,840 --> 00:01:52,600 Speaker 1: we Works valuation and to attract young, passionate people to 30 00:01:52,720 --> 00:01:56,680 Speaker 1: build his vision for him. Remember, we Work at its 31 00:01:56,720 --> 00:02:00,280 Speaker 1: core is a real estate business. It's about renting debt asks. 32 00:02:00,920 --> 00:02:03,320 Speaker 1: But as it grew, Adam made it so much more. 33 00:02:04,240 --> 00:02:06,640 Speaker 1: He hyped it up in two ways. He gave it 34 00:02:06,680 --> 00:02:09,959 Speaker 1: a super lofty mission statement, one that would eventually become 35 00:02:10,160 --> 00:02:13,760 Speaker 1: to elevate the world's consciousness. And he was able to 36 00:02:13,800 --> 00:02:18,200 Speaker 1: convince influential people, especially investors, that We Work was a 37 00:02:18,200 --> 00:02:22,760 Speaker 1: tech company and deserved to be valued like one. When 38 00:02:22,760 --> 00:02:25,280 Speaker 1: We Work first started, the reporters who wrote about it 39 00:02:25,360 --> 00:02:30,640 Speaker 1: usually covered commercial real estate, but we Work started marketing 40 00:02:30,680 --> 00:02:33,720 Speaker 1: itself as a tech company instead and They also kept 41 00:02:33,760 --> 00:02:36,840 Speaker 1: hammering home their mission rather than speaking about the nuts 42 00:02:36,840 --> 00:02:39,960 Speaker 1: and bolts of renting office space. Here's Teddy Kramer, an 43 00:02:39,960 --> 00:02:43,320 Speaker 1: early employee. All of a sudden, we became a technology company. 44 00:02:43,360 --> 00:02:46,280 Speaker 1: All of a sudden, we were really hiring a lot 45 00:02:46,280 --> 00:02:50,200 Speaker 1: of engineers and bringing in executives who had experience with 46 00:02:50,240 --> 00:02:53,839 Speaker 1: big technology companies like get hub, or after I left, 47 00:02:54,000 --> 00:02:57,680 Speaker 1: they were running people from Spotify or Apple. I was like, wow, 48 00:02:58,360 --> 00:03:01,520 Speaker 1: are we really a tech company? And again the cynical 49 00:03:01,520 --> 00:03:02,919 Speaker 1: side of me kind of like, no, we're not a 50 00:03:03,040 --> 00:03:06,920 Speaker 1: tech company. But myself and some others really questioned it heavily, 51 00:03:07,000 --> 00:03:10,480 Speaker 1: like how are we portraying ourselves this way? We Work 52 00:03:10,560 --> 00:03:13,919 Speaker 1: isn't alone. There are a number of big name startups 53 00:03:13,960 --> 00:03:16,840 Speaker 1: that say they're saving the world and using technology to 54 00:03:16,880 --> 00:03:23,519 Speaker 1: do it, you know, ones that sell products like taxi service, mattresses, suitcases, 55 00:03:23,600 --> 00:03:27,360 Speaker 1: and glasses. And the hype around we Work didn't just 56 00:03:27,440 --> 00:03:31,040 Speaker 1: influence the press coverage. It also influenced the talent. That 57 00:03:31,080 --> 00:03:34,360 Speaker 1: we Work was able to attract ambitious young people drawn 58 00:03:34,360 --> 00:03:37,920 Speaker 1: in by the mission and the marketing for This episode 59 00:03:38,000 --> 00:03:42,320 Speaker 1: will focus on one employee's journey, her initial excitement about 60 00:03:42,320 --> 00:03:45,080 Speaker 1: WE Work and it's promise of bringing community to the world. 61 00:03:45,680 --> 00:03:48,760 Speaker 1: How that belief kept her going even as things started 62 00:03:48,800 --> 00:03:52,280 Speaker 1: to sour, and how in the end her feelings turned 63 00:03:52,280 --> 00:03:56,680 Speaker 1: to resentment and a sense of betrayal. I took the 64 00:03:56,800 --> 00:04:00,480 Speaker 1: job at WE Worked because I did not anybody in 65 00:04:00,520 --> 00:04:02,920 Speaker 1: New York and I was really looking for like a 66 00:04:02,960 --> 00:04:05,840 Speaker 1: peer group and to like, you know, make a network 67 00:04:05,960 --> 00:04:09,560 Speaker 1: of friends in a brand new place. Cody Quinn started 68 00:04:09,560 --> 00:04:11,760 Speaker 1: at WE Work when she was twenty nine. She was 69 00:04:11,800 --> 00:04:14,160 Speaker 1: originally from Michigan, and she was brand new to New 70 00:04:14,200 --> 00:04:17,600 Speaker 1: York City. And the moment she walked into WE Works offices, 71 00:04:17,880 --> 00:04:21,960 Speaker 1: she was drawn in. This sounds so stupid, but you 72 00:04:22,000 --> 00:04:25,120 Speaker 1: walk in and like there's like cool, trendy people everywhere, 73 00:04:25,640 --> 00:04:28,520 Speaker 1: you know, like and and I'm like in this brand new, 74 00:04:28,560 --> 00:04:31,320 Speaker 1: big city and I'm like, oh my gosh, everybody's cool. 75 00:04:31,600 --> 00:04:34,520 Speaker 1: Like she's got cool hair, and like she's got a 76 00:04:34,640 --> 00:04:37,719 Speaker 1: nose ring, and like, I mean, when I interviewed, I 77 00:04:37,760 --> 00:04:40,440 Speaker 1: had like I was wearing a suit. Everybody was in jeans, 78 00:04:40,560 --> 00:04:42,800 Speaker 1: Like you know, it was like I was like, this 79 00:04:42,880 --> 00:04:46,360 Speaker 1: is amazing. Cody had spent the last four years at 80 00:04:46,360 --> 00:04:49,400 Speaker 1: a small, family run business. She had never worked in 81 00:04:49,400 --> 00:04:52,080 Speaker 1: such a big company before, so she had no idea 82 00:04:52,160 --> 00:04:54,640 Speaker 1: what to expect at we Work. I want to say, 83 00:04:54,640 --> 00:04:57,479 Speaker 1: like the first three months of working there, I didn't 84 00:04:57,480 --> 00:05:01,359 Speaker 1: know what was normal. So when Pete, well, are you 85 00:05:01,400 --> 00:05:06,200 Speaker 1: know There's an executive in the office next to the 86 00:05:06,240 --> 00:05:09,039 Speaker 1: one that I'm sitting in and he starts screaming and 87 00:05:10,200 --> 00:05:12,919 Speaker 1: rips a printer out of the wall and smashes it 88 00:05:13,000 --> 00:05:16,279 Speaker 1: on the floor. I'm like, is this what happens? Like? 89 00:05:16,400 --> 00:05:19,560 Speaker 1: Is this like? Am I a New York or now? Like? What? Like? 90 00:05:19,680 --> 00:05:22,520 Speaker 1: Is this normal? And I didn't have anything to compare 91 00:05:22,520 --> 00:05:25,280 Speaker 1: it to. I just want to rewind for a sec. 92 00:05:25,720 --> 00:05:28,280 Speaker 1: Cody says she actually saw someone pull a printer out 93 00:05:28,279 --> 00:05:30,520 Speaker 1: of a wall and smash it in a fit of rage. 94 00:05:31,000 --> 00:05:33,600 Speaker 1: She was pretty green when she joined we Work, which 95 00:05:33,640 --> 00:05:35,600 Speaker 1: made it harder for her to know when to speak 96 00:05:35,680 --> 00:05:37,960 Speaker 1: up about the weird things she was seeing in the office, 97 00:05:38,600 --> 00:05:40,520 Speaker 1: or how to know if it was normal for her 98 00:05:40,560 --> 00:05:43,760 Speaker 1: to feel so stressed out. This is something that a 99 00:05:43,800 --> 00:05:47,080 Speaker 1: lot of former we Work employees told me too. They 100 00:05:47,120 --> 00:05:50,960 Speaker 1: felt like we Work purposely hired young or inexperienced workers 101 00:05:51,000 --> 00:05:53,120 Speaker 1: because they were more likely to go along with the 102 00:05:53,200 --> 00:05:57,039 Speaker 1: sometimes chaotic work environment employees in their thirties with a 103 00:05:57,040 --> 00:06:00,080 Speaker 1: few different jobs under their belt, felt ancient compared or 104 00:06:00,160 --> 00:06:04,400 Speaker 1: to their coworkers. Here's Teddy. The kind of people that 105 00:06:04,440 --> 00:06:07,560 Speaker 1: were being brought in were young folks who didn't have 106 00:06:07,600 --> 00:06:10,960 Speaker 1: a ton of experience, who were extremely passionate and wanted 107 00:06:11,000 --> 00:06:14,880 Speaker 1: to again get on the rocket ship to the moon. Um. 108 00:06:14,920 --> 00:06:17,360 Speaker 1: But I also believe they were malleable, right. They would 109 00:06:17,400 --> 00:06:20,120 Speaker 1: believe everything they were told. They wouldn't ask the tough questions. 110 00:06:20,560 --> 00:06:23,760 Speaker 1: Cody was one of those employees, someone who was excited 111 00:06:23,800 --> 00:06:25,919 Speaker 1: to have the job and wanted to do well, but 112 00:06:26,040 --> 00:06:29,080 Speaker 1: was starting to get confused by the behavior around her. 113 00:06:29,640 --> 00:06:32,479 Speaker 1: She was an assistant to two we Work executives, and 114 00:06:32,560 --> 00:06:35,919 Speaker 1: she started to notice how the executives lives seemed to 115 00:06:36,000 --> 00:06:39,000 Speaker 1: be dictated by Adam. You know, if Adam was like 116 00:06:39,279 --> 00:06:43,880 Speaker 1: coming down the hall, it's like every executive's like butthole titans. 117 00:06:43,920 --> 00:06:47,039 Speaker 1: Like everybody just got really like oh my God, like 118 00:06:47,440 --> 00:06:50,880 Speaker 1: you know, like they like would drop anything for like 119 00:06:50,920 --> 00:06:53,240 Speaker 1: two seconds to talk to him. And I just started 120 00:06:53,279 --> 00:06:56,320 Speaker 1: to notice like how much anxiety there was amongst all 121 00:06:56,360 --> 00:07:00,719 Speaker 1: of these executives when it came to Adam. She noticed 122 00:07:00,720 --> 00:07:03,960 Speaker 1: that every Monday night, after the all hands meetings, executives 123 00:07:04,000 --> 00:07:07,640 Speaker 1: stuck around for another meeting with Adam. Then I started 124 00:07:07,680 --> 00:07:11,200 Speaker 1: to find out that executives were required to stay until 125 00:07:11,240 --> 00:07:14,320 Speaker 1: like sometimes two and three in the morning. Here's Adam 126 00:07:14,360 --> 00:07:17,120 Speaker 1: at an all hands meeting talking about these late nights. 127 00:07:17,480 --> 00:07:19,480 Speaker 1: And then every Monday night, either I do a second 128 00:07:19,520 --> 00:07:21,320 Speaker 1: meeting with the leadership team or I said, with the 129 00:07:21,360 --> 00:07:23,480 Speaker 1: real estate team. Usually ends at two. I am, we 130 00:07:23,600 --> 00:07:26,960 Speaker 1: do this every Monday. Cody said that sometimes the executives 131 00:07:27,000 --> 00:07:30,480 Speaker 1: would drop everything they were doing at Adam's win. Adam 132 00:07:30,520 --> 00:07:35,960 Speaker 1: would hijack their days frequently. Um, and I again didn't know, 133 00:07:36,520 --> 00:07:39,840 Speaker 1: is that a CEO thing? Oh? Is that just expected? 134 00:07:40,120 --> 00:07:44,560 Speaker 1: You know? I'd slave hours and hours on my computer 135 00:07:44,680 --> 00:07:48,480 Speaker 1: and email and trying to like organize all of their schedules, 136 00:07:48,480 --> 00:07:50,560 Speaker 1: and then Adam would come in and just drop a bomb, 137 00:07:50,720 --> 00:07:54,640 Speaker 1: and like you know, and it happened so often that, 138 00:07:54,760 --> 00:07:57,520 Speaker 1: like I was worried that it was making me look 139 00:07:57,600 --> 00:08:00,920 Speaker 1: unprofessional to other people. You know that my executives are 140 00:08:00,920 --> 00:08:02,960 Speaker 1: supposed to have meetings with that all the time, I'm 141 00:08:02,960 --> 00:08:05,520 Speaker 1: having to say, like, I know what, you're supposed to 142 00:08:05,560 --> 00:08:08,240 Speaker 1: be here an hour, but we have to reschedule. She 143 00:08:08,360 --> 00:08:10,920 Speaker 1: was also running to her executives homes late at night, 144 00:08:11,040 --> 00:08:13,200 Speaker 1: so they were ready for Adam to pop in at 145 00:08:13,240 --> 00:08:17,400 Speaker 1: any hour. Cody was questioning if these assignments really had 146 00:08:17,440 --> 00:08:20,360 Speaker 1: to be done that night, and sometimes it did just like, well, 147 00:08:20,400 --> 00:08:22,200 Speaker 1: Adams coming to my house, so yeah, it has to 148 00:08:22,200 --> 00:08:24,360 Speaker 1: be to night, and he'd come over at like twelve 149 00:08:24,400 --> 00:08:27,640 Speaker 1: at night, and it's just bizarre. Like it just got 150 00:08:27,680 --> 00:08:31,880 Speaker 1: more and more bizarre. So this sort of CEO behavior 151 00:08:32,080 --> 00:08:35,920 Speaker 1: isn't entirely uncommon. A lot of big, splashy startups have 152 00:08:36,000 --> 00:08:39,560 Speaker 1: work cultures that burn people out and require long, late hours. 153 00:08:40,160 --> 00:08:43,839 Speaker 1: There's more than one messianic, demanding CEO in the tech world. 154 00:08:44,760 --> 00:08:46,960 Speaker 1: But here's where I think it's fair to call out 155 00:08:47,000 --> 00:08:50,280 Speaker 1: we work. For one thing, we were claimed to be better. 156 00:08:50,840 --> 00:08:54,240 Speaker 1: Remember we were promised to reinvent work to make it refreshing, 157 00:08:54,760 --> 00:08:57,000 Speaker 1: so you could argue that they should be held to 158 00:08:57,040 --> 00:09:01,120 Speaker 1: a higher standard. And also, we were was selling work 159 00:09:01,200 --> 00:09:04,920 Speaker 1: culture that was their product, so their own internal culture 160 00:09:05,360 --> 00:09:09,360 Speaker 1: with unhappy, burnt out employees shouldn't have been an afterthought. 161 00:09:10,200 --> 00:09:12,040 Speaker 1: And on top of that, much of the we were 162 00:09:12,120 --> 00:09:15,120 Speaker 1: culture that they were selling was fake, like it was 163 00:09:15,160 --> 00:09:18,400 Speaker 1: an actual performance. There was a ritual that a lot 164 00:09:18,440 --> 00:09:20,960 Speaker 1: of we Work employees had to perform when Adam was 165 00:09:20,960 --> 00:09:23,880 Speaker 1: giving a tour to an investor. He needed the space 166 00:09:23,920 --> 00:09:27,720 Speaker 1: to look exciting, to make a strong impression. This ritual 167 00:09:27,960 --> 00:09:32,400 Speaker 1: even had a name. It's called activating the space. That's 168 00:09:32,440 --> 00:09:36,720 Speaker 1: what it was called activating the space. So yeah, oh my, 169 00:09:36,960 --> 00:09:39,480 Speaker 1: oh my god, give me a second. I this was 170 00:09:39,559 --> 00:09:43,520 Speaker 1: like the thing I hated so much. Um, what it 171 00:09:43,559 --> 00:09:47,080 Speaker 1: really came down to was like pulling back the curtain 172 00:09:47,800 --> 00:09:50,560 Speaker 1: like the Wizard of Oz. I was like, this is 173 00:09:50,600 --> 00:09:53,960 Speaker 1: so stupid, Like it was so fake. It's like we're 174 00:09:54,000 --> 00:09:57,040 Speaker 1: bringing somebody in that's going to invest and like throw 175 00:09:57,080 --> 00:09:59,600 Speaker 1: a party, like just throw up. So like all the 176 00:09:59,600 --> 00:10:05,200 Speaker 1: community managers on whatever floor are like everybody get here now, 177 00:10:05,600 --> 00:10:08,400 Speaker 1: you know, like they're going around like yanking people out 178 00:10:08,400 --> 00:10:12,000 Speaker 1: of their offices, like get into the common area, like 179 00:10:12,080 --> 00:10:14,800 Speaker 1: we're activating space. And they were used to putting on 180 00:10:14,800 --> 00:10:18,199 Speaker 1: a good show. Here's Carl Pierre, a community manager in 181 00:10:18,320 --> 00:10:22,600 Speaker 1: d C. I'd get this frantic email or call Adams 182 00:10:22,600 --> 00:10:25,280 Speaker 1: coming to d C with investors. You know, activate the 183 00:10:25,320 --> 00:10:27,520 Speaker 1: space like user company credit, buy whatever you gotta buy, 184 00:10:27,600 --> 00:10:29,800 Speaker 1: but like make sure, everyone's having fun, so I'd like, 185 00:10:30,600 --> 00:10:33,600 Speaker 1: I don't order like two dollars worth of like nitrogen 186 00:10:33,640 --> 00:10:37,040 Speaker 1: frozen ice cream. And the cool thing was it totally 187 00:10:37,040 --> 00:10:39,400 Speaker 1: worked because when you walked in, it looked like an 188 00:10:39,400 --> 00:10:42,160 Speaker 1: ice cream party with a million different companies and everybody 189 00:10:42,280 --> 00:10:44,680 Speaker 1: was laughing and smiling and having good time. So we 190 00:10:44,760 --> 00:10:47,040 Speaker 1: made it happen. So when you first walked in, you're like, dude, 191 00:10:47,040 --> 00:10:50,160 Speaker 1: this place is awesome, Like what is going on? They 192 00:10:50,200 --> 00:10:52,280 Speaker 1: go into the liquor cabinet and they pull out all 193 00:10:52,320 --> 00:10:56,800 Speaker 1: the wine and they've got you know, people like doing 194 00:10:57,000 --> 00:11:00,760 Speaker 1: feels like they've got a big project. Are screened down 195 00:11:00,800 --> 00:11:06,280 Speaker 1: and someone's like, look at our growth like Adams walking 196 00:11:06,280 --> 00:11:09,600 Speaker 1: through people. It was cringe e. That's the best part 197 00:11:09,600 --> 00:11:13,840 Speaker 1: I can come up with. Cringe E. Activating the space 198 00:11:14,080 --> 00:11:16,800 Speaker 1: was a good way to lure investors, but it was 199 00:11:16,840 --> 00:11:19,600 Speaker 1: just a big show. When I was speaking to Cody, 200 00:11:19,760 --> 00:11:22,319 Speaker 1: she kept saying that it felt fake. She said she 201 00:11:22,360 --> 00:11:25,280 Speaker 1: felt like she was working in a dystopian sci fi movie. 202 00:11:25,720 --> 00:11:29,040 Speaker 1: People were like working themselves under the ground and they're 203 00:11:29,080 --> 00:11:31,920 Speaker 1: just doing it with this like crazy smile, like oh 204 00:11:31,960 --> 00:11:34,599 Speaker 1: my god, I'm so happy to be here. Like it 205 00:11:34,720 --> 00:11:36,280 Speaker 1: kind of felt like I was like, that's what it 206 00:11:36,320 --> 00:11:39,480 Speaker 1: felt like. It's like everybody is miserable, but nobody will 207 00:11:39,520 --> 00:11:44,240 Speaker 1: say anything. So things that we work could get pretty intense. 208 00:11:44,679 --> 00:11:49,319 Speaker 1: But the company also rewarded its employees with massive blowout parties. 209 00:11:49,760 --> 00:11:53,160 Speaker 1: The most infamous one is Summer Camp. Summer Camp is 210 00:11:53,200 --> 00:11:56,120 Speaker 1: an annual festival that we worked through in the countryside, 211 00:11:56,520 --> 00:11:59,679 Speaker 1: first in Upstate New York, then in England. It was 212 00:11:59,720 --> 00:12:04,280 Speaker 1: open to employees and members. Carl went to several of them. 213 00:12:04,480 --> 00:12:07,440 Speaker 1: It first started with this lake in the Randex that 214 00:12:07,679 --> 00:12:09,840 Speaker 1: we work when it was a really small team, go 215 00:12:09,920 --> 00:12:11,920 Speaker 1: there and party for free and like as like a 216 00:12:11,960 --> 00:12:13,600 Speaker 1: way to blow off some steam and take a break, 217 00:12:13,640 --> 00:12:15,680 Speaker 1: and it was so cool. And then it grew to 218 00:12:15,720 --> 00:12:17,400 Speaker 1: them like all right, guys, this is so much fun, 219 00:12:17,400 --> 00:12:19,240 Speaker 1: which definite get a musical act to come and just 220 00:12:19,240 --> 00:12:20,559 Speaker 1: like play for us. And it was like a small 221 00:12:20,600 --> 00:12:23,079 Speaker 1: local band thing and it frontly just like kind of 222 00:12:23,120 --> 00:12:28,200 Speaker 1: scaled from there to my last Summer Camp. Um Chromeo 223 00:12:28,400 --> 00:12:30,679 Speaker 1: opened up for the weekend and the weekend was flowing 224 00:12:30,720 --> 00:12:33,880 Speaker 1: in on a helicopter. The weekend is a musician. By 225 00:12:33,920 --> 00:12:37,640 Speaker 1: the way, one of our editors was confused to me 226 00:12:37,880 --> 00:12:40,440 Speaker 1: as a reporter. Summer camp is just one of the 227 00:12:40,559 --> 00:12:43,920 Speaker 1: strangest and most notable things about we Work. Adam and 228 00:12:43,960 --> 00:12:47,120 Speaker 1: other executives gave speeches on stage during the day, and 229 00:12:47,160 --> 00:12:50,840 Speaker 1: at night they would put on these flashy, giant music performances. 230 00:12:51,720 --> 00:12:54,120 Speaker 1: It's like if you went to Coachella but it was 231 00:12:54,240 --> 00:12:57,480 Speaker 1: run by your boss. To me, it's just this perfect 232 00:12:57,520 --> 00:12:59,760 Speaker 1: example of how we were going to blur that line 233 00:13:00,040 --> 00:13:04,240 Speaker 1: when your personal and professional life blurrett so completely it 234 00:13:04,320 --> 00:13:08,000 Speaker 1: was basically erased. We have a lot of tape from 235 00:13:08,040 --> 00:13:11,680 Speaker 1: all hands meetings where Adam talks about summer camp. Again, 236 00:13:11,800 --> 00:13:13,320 Speaker 1: this is the tape that was given to me by 237 00:13:13,320 --> 00:13:16,000 Speaker 1: a WEE Work employee, and in the recordings you can 238 00:13:16,080 --> 00:13:20,160 Speaker 1: hear Adam's excitement. Here he is talking about summer camps origins, 239 00:13:20,720 --> 00:13:23,120 Speaker 1: and we said, well, great, let's do a summer camp. 240 00:13:23,160 --> 00:13:24,599 Speaker 1: I've never been to one, but I saw them in 241 00:13:24,640 --> 00:13:27,400 Speaker 1: the movies and thought it sounded awesome. And it took 242 00:13:27,440 --> 00:13:29,120 Speaker 1: a minute to find a venue that would take on 243 00:13:29,160 --> 00:13:32,120 Speaker 1: the liability of such a big party. Why wouldn't you 244 00:13:32,120 --> 00:13:38,400 Speaker 1: want mature cycling intoxicated very we oriented members and employees 245 00:13:38,400 --> 00:13:41,079 Speaker 1: to come to your camp. It ended up getting hosted 246 00:13:41,120 --> 00:13:46,560 Speaker 1: at an executive's parents property. Here's Adam pitching Summer Camp 247 00:13:46,600 --> 00:13:49,240 Speaker 1: to his employees. If it's the first time you're doing it, 248 00:13:49,640 --> 00:13:52,120 Speaker 1: really come and enjoy it. We're gonna go a day 249 00:13:52,160 --> 00:13:54,400 Speaker 1: before as a company, all the employees and spend a 250 00:13:54,480 --> 00:13:56,160 Speaker 1: day getting to know each other, doing a lot of 251 00:13:56,200 --> 00:13:59,120 Speaker 1: social exercises, playing a lot of games, putting on some 252 00:13:59,240 --> 00:14:02,960 Speaker 1: shows in some competitions. By its third year, Summer Camp 253 00:14:03,000 --> 00:14:06,680 Speaker 1: already had some traditions and celebrities of its own. There's 254 00:14:06,720 --> 00:14:10,160 Speaker 1: a guy Adam calls Naked Pete. His Naked Pete coming. 255 00:14:12,800 --> 00:14:15,320 Speaker 1: But for those of you don't know Naked Pete. He's 256 00:14:15,360 --> 00:14:22,440 Speaker 1: one of our members and he loves parties. It's very 257 00:14:22,440 --> 00:14:26,800 Speaker 1: confident when he's in parties. Okay, no idea who Naked 258 00:14:26,800 --> 00:14:31,560 Speaker 1: Pete is, but he sounds fun. Summer Camp was a 259 00:14:31,600 --> 00:14:34,800 Speaker 1: place for people to get into all sorts of shenanigans. 260 00:14:34,800 --> 00:14:38,240 Speaker 1: No reporters this time, by the way, definitely no reporters 261 00:14:38,280 --> 00:14:42,160 Speaker 1: this time. We had a little problem there. The previous year. 262 00:14:42,240 --> 00:14:45,000 Speaker 1: A reporter came to Summer Camp and we work picked 263 00:14:45,040 --> 00:14:47,480 Speaker 1: some members for her to interview. The reporter looks at 264 00:14:47,520 --> 00:14:48,960 Speaker 1: him and says, what do you do last night? And 265 00:14:49,080 --> 00:14:53,000 Speaker 1: looks there mushrooms? What did you do that? Did you 266 00:14:53,040 --> 00:14:56,120 Speaker 1: catch that? We work member told the reporter that he 267 00:14:56,160 --> 00:15:00,720 Speaker 1: did mushrooms at summer camp, which is awkward. PR people 268 00:15:00,760 --> 00:15:03,800 Speaker 1: had to spend the next many hours talking to the 269 00:15:03,840 --> 00:15:06,640 Speaker 1: reporter saying he's a member, not an employee. We did 270 00:15:06,640 --> 00:15:09,440 Speaker 1: not supply it. Please do us a fever and don't 271 00:15:09,480 --> 00:15:12,080 Speaker 1: put it in the article. He never went into the article. 272 00:15:12,200 --> 00:15:14,920 Speaker 1: Was a good thing members pay to go to summer camp, 273 00:15:15,200 --> 00:15:17,920 Speaker 1: but we worked foots the bill for its employees to come. 274 00:15:18,400 --> 00:15:20,720 Speaker 1: One thing I forgot to say for summer Camp, we 275 00:15:20,760 --> 00:15:24,280 Speaker 1: are flying over every single employee in every country, every 276 00:15:24,320 --> 00:15:28,960 Speaker 1: state around the world. It's not cheap. This is a 277 00:15:29,040 --> 00:15:31,880 Speaker 1: sort of extravagant spending that we work became famous for. 278 00:15:32,760 --> 00:15:34,960 Speaker 1: Just for summer Camp. For an example, it costs US 279 00:15:34,960 --> 00:15:38,520 Speaker 1: twelve dollars per employee, not including flights. So just do 280 00:15:38,640 --> 00:15:40,800 Speaker 1: the math and fift employees, you'll see here at two 281 00:15:40,800 --> 00:15:43,400 Speaker 1: million dollars, and you add the flights and this, and 282 00:15:43,440 --> 00:15:45,880 Speaker 1: before you know, to bring everybody together as an investment 283 00:15:45,920 --> 00:15:48,600 Speaker 1: of two and a a half million, and it's a great investment, 284 00:15:48,840 --> 00:15:51,800 Speaker 1: even though it's for a very short time. Two and 285 00:15:51,840 --> 00:15:54,880 Speaker 1: a half million dollars for an employee bonding trip is 286 00:15:54,920 --> 00:15:57,640 Speaker 1: a lot of money, but it made a huge impression 287 00:15:57,640 --> 00:16:00,160 Speaker 1: on his employees. Would be like partying all my an 288 00:16:00,160 --> 00:16:03,360 Speaker 1: open bar with like great tequila and shots, and everyone's 289 00:16:03,400 --> 00:16:05,480 Speaker 1: just like wrecked in the morning that these canoes packed 290 00:16:05,480 --> 00:16:07,840 Speaker 1: with ice and coconut water, and you would just like 291 00:16:08,120 --> 00:16:11,560 Speaker 1: everyone would rehydrate and they'd be like more beach games 292 00:16:11,600 --> 00:16:14,560 Speaker 1: and like team building and then more drinking and then 293 00:16:14,560 --> 00:16:16,840 Speaker 1: it's just you know, and again. I was one of 294 00:16:16,840 --> 00:16:19,000 Speaker 1: the guys who loved I loved my first summer camp 295 00:16:19,160 --> 00:16:20,920 Speaker 1: and my second summer camp and my third summer they 296 00:16:20,960 --> 00:16:22,760 Speaker 1: were all they were. They were dope. I had a 297 00:16:22,800 --> 00:16:25,480 Speaker 1: great time. I will I sole her being super hungover 298 00:16:25,560 --> 00:16:27,800 Speaker 1: at a table and looking over to my right, and 299 00:16:27,800 --> 00:16:30,000 Speaker 1: then St. Lucia, she was like one of my favorite bands, 300 00:16:30,400 --> 00:16:31,840 Speaker 1: was like eating breakfast next to me, and I was 301 00:16:31,880 --> 00:16:36,800 Speaker 1: like this is so cool. Um and I was like, um. 302 00:16:36,840 --> 00:16:38,880 Speaker 1: So we were down by the water at a bonfire 303 00:16:38,920 --> 00:16:42,080 Speaker 1: and out of nowhere, I hear one of the weekends 304 00:16:42,120 --> 00:16:44,880 Speaker 1: like really big songs that had come out like that summer, 305 00:16:44,920 --> 00:16:49,560 Speaker 1: and I was like, are you kidding me? So I 306 00:16:49,640 --> 00:16:52,000 Speaker 1: freaked out, and my sister and I hopped on a 307 00:16:52,000 --> 00:16:53,760 Speaker 1: golf cart and we were like, give us a ride, 308 00:16:53,880 --> 00:16:56,280 Speaker 1: you know, and like so we're like tearing up a 309 00:16:56,360 --> 00:16:59,200 Speaker 1: hill and we get to like the big field where 310 00:16:59,240 --> 00:17:01,880 Speaker 1: the stages, and I was like, this cannot be happening. 311 00:17:01,920 --> 00:17:03,560 Speaker 1: Like this cannot be happen. Was my one of my 312 00:17:03,600 --> 00:17:07,240 Speaker 1: favorite artists, and I'm like this, this is unreal. So 313 00:17:07,359 --> 00:17:10,840 Speaker 1: Cody and Carl had these incredibly memorable and exciting moments 314 00:17:10,840 --> 00:17:14,520 Speaker 1: at Summer Camp once in a lifetime stuff. But for Cody, 315 00:17:14,840 --> 00:17:17,080 Speaker 1: her day to day job at WE Work was wearing 316 00:17:17,119 --> 00:17:20,159 Speaker 1: her down. She was an executive assistant and her bosses 317 00:17:20,200 --> 00:17:23,360 Speaker 1: were tough on her. She started to feel stressed and exhausted. 318 00:17:23,960 --> 00:17:26,920 Speaker 1: She wasn't sure this company was treating her right. As 319 00:17:26,920 --> 00:17:29,000 Speaker 1: she spent more and more time at WE Work, she 320 00:17:29,040 --> 00:17:32,720 Speaker 1: started to notice something about Summer Camp. She realized these 321 00:17:32,760 --> 00:17:36,600 Speaker 1: big blowouts had another purpose beyond just having fun. I 322 00:17:37,119 --> 00:17:40,160 Speaker 1: think that they found a formula that worked really well 323 00:17:40,840 --> 00:17:46,880 Speaker 1: for UM, exhausting their workforce and then just giving them 324 00:17:46,880 --> 00:17:49,400 Speaker 1: a reason to keep doing it. Cody saw it as 325 00:17:49,400 --> 00:17:53,240 Speaker 1: a cycle of getting burned out and then reinspired. We 326 00:17:53,359 --> 00:17:55,560 Speaker 1: all know what we need to do. We all know, 327 00:17:56,040 --> 00:17:58,919 Speaker 1: like we all have to contribute because it's we and 328 00:17:59,000 --> 00:18:02,639 Speaker 1: we're a team. And and then you know, six months 329 00:18:02,640 --> 00:18:06,200 Speaker 1: goes by and like every you know, a few weeks, 330 00:18:06,200 --> 00:18:11,600 Speaker 1: like you're just getting you know, more and and more, 331 00:18:11,680 --> 00:18:17,240 Speaker 1: just like bogged down, dragged out. Things just start to deteriorate. 332 00:18:17,359 --> 00:18:20,119 Speaker 1: And then you hit summer Camp and so all of 333 00:18:20,160 --> 00:18:24,080 Speaker 1: a sudden, you're reinspired and like you're reinvigorated. So even 334 00:18:24,080 --> 00:18:27,119 Speaker 1: though Cody looks back on summer Camp fondly, she also 335 00:18:27,160 --> 00:18:30,440 Speaker 1: feels like maybe she was being manipulated, like summer Camp 336 00:18:30,480 --> 00:18:33,040 Speaker 1: was a debauchero's party, meant to distract you from the 337 00:18:33,240 --> 00:18:35,800 Speaker 1: not so great parts of the job. You know, when 338 00:18:35,800 --> 00:18:37,640 Speaker 1: you're in the middle of it, you're just sort of 339 00:18:37,840 --> 00:18:43,000 Speaker 1: like looking for like any outlets of like okay, it's 340 00:18:43,000 --> 00:18:45,200 Speaker 1: all it's okay, we're all fine. We're all gonna be fine. 341 00:18:45,920 --> 00:18:48,040 Speaker 1: We put up with a lot, we worked really hard. 342 00:18:48,119 --> 00:18:51,840 Speaker 1: We you know, we get yelled at, but it's all 343 00:18:51,880 --> 00:18:54,959 Speaker 1: worth it in the end because we're working for this 344 00:18:55,000 --> 00:19:00,600 Speaker 1: awesome company. Is like the kool Aid disillusionment flip flap, 345 00:19:00,640 --> 00:19:03,639 Speaker 1: flip flap, Like it goes back and forth for most people. 346 00:19:04,400 --> 00:19:07,720 Speaker 1: And here's Adam on stage at summer Camp pepping up 347 00:19:07,720 --> 00:19:12,200 Speaker 1: his employees. Who is here last year? Raise your handy, 348 00:19:12,240 --> 00:19:18,080 Speaker 1: geer last year. I'm just gonna say, I'm just gonna 349 00:19:18,119 --> 00:19:21,080 Speaker 1: say one thing. All of this would not be possible 350 00:19:21,160 --> 00:19:23,200 Speaker 1: without all of you, So I just want to say 351 00:19:23,240 --> 00:19:27,320 Speaker 1: thank you so much. Adam turned to his favorite topics again, 352 00:19:27,640 --> 00:19:31,199 Speaker 1: meaning and intention, and he's doing this to inspire his 353 00:19:31,240 --> 00:19:34,520 Speaker 1: employees to keep going. Thank you, Thank you for being 354 00:19:34,640 --> 00:19:38,200 Speaker 1: part of something that actually has a meaning. I think 355 00:19:38,200 --> 00:19:40,040 Speaker 1: the thing that all of us know is if you 356 00:19:40,080 --> 00:19:42,200 Speaker 1: want to succeed in this world, you have to build 357 00:19:42,240 --> 00:19:45,040 Speaker 1: something that has intentions. You have to build something that 358 00:19:45,080 --> 00:19:49,080 Speaker 1: has true meaning behind it. And what puts us together, 359 00:19:49,160 --> 00:19:51,199 Speaker 1: all of us here is every one of us is 360 00:19:51,240 --> 00:19:53,560 Speaker 1: here because it hasn't mean, because we want to do 361 00:19:53,680 --> 00:19:56,600 Speaker 1: something that actually makes the world a better place and 362 00:19:56,680 --> 00:20:04,440 Speaker 1: we want to make money doing it. We'll be right back. 363 00:20:14,040 --> 00:20:16,479 Speaker 1: I want to revisit the tapes of all Hands meetings 364 00:20:16,480 --> 00:20:19,359 Speaker 1: that were given to me by we work employee after 365 00:20:19,440 --> 00:20:22,160 Speaker 1: she handed me the recordings she was sued by the company. 366 00:20:23,000 --> 00:20:26,000 Speaker 1: These tapes are special because they reveal a different side 367 00:20:26,000 --> 00:20:29,800 Speaker 1: of Adam. Adam gets really honest. In this clip I'm 368 00:20:29,800 --> 00:20:32,400 Speaker 1: about to play you, he's saying that we work knowingly 369 00:20:32,480 --> 00:20:35,520 Speaker 1: pays its employees less than they could earn elsewhere. I 370 00:20:35,520 --> 00:20:37,240 Speaker 1: can tell you right now and everyone here knows that 371 00:20:37,280 --> 00:20:39,359 Speaker 1: we are not the highest players in the market. We 372 00:20:39,440 --> 00:20:42,200 Speaker 1: just aren't its own purpose. We want people to come 373 00:20:42,240 --> 00:20:44,280 Speaker 1: here because they truly feel and that's what they want 374 00:20:44,280 --> 00:20:46,399 Speaker 1: to do. We're very generous with our equity, and in 375 00:20:46,440 --> 00:20:48,920 Speaker 1: the future we're going to be more generous with our equity. 376 00:20:49,200 --> 00:20:51,440 Speaker 1: But one of the things we do here to make 377 00:20:51,440 --> 00:20:54,600 Speaker 1: sure you really want to be here is we we 378 00:20:54,720 --> 00:20:56,440 Speaker 1: really ask you to tell us what is the bare 379 00:20:56,520 --> 00:20:59,240 Speaker 1: minimum that you need. We don't want you to lose money, 380 00:20:59,320 --> 00:21:01,320 Speaker 1: but we really want you to be here for the 381 00:21:01,400 --> 00:21:03,800 Speaker 1: right reasons. So we know that this employee that came 382 00:21:03,840 --> 00:21:05,840 Speaker 1: here is here for the right reasons. By the way, 383 00:21:05,880 --> 00:21:07,920 Speaker 1: if they're not not gonna last for a long time, 384 00:21:08,000 --> 00:21:11,040 Speaker 1: so we know that are you here for the right reasons? 385 00:21:11,400 --> 00:21:15,439 Speaker 1: Are you down for the cause? I remember feeling surprised 386 00:21:15,520 --> 00:21:17,600 Speaker 1: when I heard what Adam was saying in these tapes. 387 00:21:18,240 --> 00:21:20,840 Speaker 1: I know some startup managers think to themselves that they 388 00:21:20,840 --> 00:21:24,359 Speaker 1: want their staff to be motivated by the mission, not money. 389 00:21:24,400 --> 00:21:26,800 Speaker 1: But it's remarkable to me that a CEO would say 390 00:21:26,840 --> 00:21:30,399 Speaker 1: out loud to all his employees that he's intentionally paying 391 00:21:30,440 --> 00:21:33,720 Speaker 1: them less. When I showed adams quote to we Work, 392 00:21:33,960 --> 00:21:37,520 Speaker 1: a spokesperson gave me this statement. We Work is committed 393 00:21:37,560 --> 00:21:41,760 Speaker 1: to compensating employees fairly and competitively. But if you listen 394 00:21:41,800 --> 00:21:44,280 Speaker 1: to the tapes, you hear Adam come back to the 395 00:21:44,320 --> 00:21:48,440 Speaker 1: ideas of loyalty and dedication again and again. Here's another 396 00:21:48,480 --> 00:21:51,320 Speaker 1: all hands meeting where Adam tells his employees that they're 397 00:21:51,359 --> 00:21:54,840 Speaker 1: part of something bigger than themselves. The bottom line is simple, 398 00:21:55,440 --> 00:21:58,119 Speaker 1: you guys are all part of this. I don't need 399 00:21:58,160 --> 00:22:00,080 Speaker 1: to tell you what's happening here. I can't tell me 400 00:22:00,160 --> 00:22:05,960 Speaker 1: what's happening here. You know what's happening here, And if 401 00:22:06,000 --> 00:22:08,120 Speaker 1: you don't feel it and you're not a part of it, 402 00:22:08,320 --> 00:22:10,280 Speaker 1: then it's it's your problem, and it's up to you 403 00:22:10,400 --> 00:22:13,120 Speaker 1: because the reason that you're here is because you choose 404 00:22:13,200 --> 00:22:16,200 Speaker 1: to be here. And I'm here because they choosed to 405 00:22:16,240 --> 00:22:17,840 Speaker 1: be here, and a lot of our friends are here 406 00:22:17,840 --> 00:22:20,280 Speaker 1: because they choosed to be here, and making the choice 407 00:22:20,320 --> 00:22:22,199 Speaker 1: so big here is not an easy choice. I'll be 408 00:22:22,240 --> 00:22:25,160 Speaker 1: the first one to say, you chose to be here. 409 00:22:25,640 --> 00:22:28,960 Speaker 1: If you're not excited about it, that's your problem, not ours. 410 00:22:29,720 --> 00:22:31,680 Speaker 1: In this speech, it sounds like Adam is demanding a 411 00:22:31,760 --> 00:22:36,080 Speaker 1: personal commitment, a fidelity to the company. Here's Cody. There 412 00:22:36,160 --> 00:22:39,399 Speaker 1: was like a purity test amongst the executives, like they 413 00:22:39,400 --> 00:22:41,919 Speaker 1: would if somebody wasn't at one of those meetings, they 414 00:22:41,920 --> 00:22:44,879 Speaker 1: would throw that person under the bus. Are you really 415 00:22:44,880 --> 00:22:47,600 Speaker 1: dedicated to this cause, to what we're doing here? Because 416 00:22:47,800 --> 00:22:50,399 Speaker 1: you're not here, so you must not be you know, 417 00:22:50,480 --> 00:22:54,440 Speaker 1: it was a purity test onlike your dedication to Adam's cause. 418 00:22:55,520 --> 00:22:57,600 Speaker 1: I just want to be really clear that Cody Quinn 419 00:22:57,680 --> 00:23:00,240 Speaker 1: is not the person who gave me these recordings, but 420 00:23:00,280 --> 00:23:02,800 Speaker 1: you'll hear her respond to the tapes because Cody was 421 00:23:02,840 --> 00:23:05,520 Speaker 1: often in the audience when Adam was giving these speeches. 422 00:23:06,040 --> 00:23:08,439 Speaker 1: She heard him making these points about believing in we 423 00:23:08,520 --> 00:23:12,879 Speaker 1: works cause and making personal sacrifices for it. Here's another 424 00:23:12,960 --> 00:23:15,600 Speaker 1: meeting where Adam is telling his employees that they might 425 00:23:15,600 --> 00:23:18,119 Speaker 1: not get credit for their ideas and that they should 426 00:23:18,119 --> 00:23:20,479 Speaker 1: be okay with it because it should be enough just 427 00:23:20,560 --> 00:23:23,560 Speaker 1: to see the company succeed. A lot of you come 428 00:23:23,600 --> 00:23:25,919 Speaker 1: to me with amazing idea, but you're not getting the 429 00:23:25,920 --> 00:23:28,280 Speaker 1: credit that it came through you, even though I might 430 00:23:28,280 --> 00:23:29,919 Speaker 1: know that you're the source of it, or ever the 431 00:23:30,000 --> 00:23:32,200 Speaker 1: right executive knows that you're the source of it. We're 432 00:23:32,240 --> 00:23:34,000 Speaker 1: all going to have great ideas now, We're all going 433 00:23:34,040 --> 00:23:36,920 Speaker 1: to contribute in huge ways to the company. Not always 434 00:23:36,920 --> 00:23:39,320 Speaker 1: will we be able to recognize you for it. When 435 00:23:39,320 --> 00:23:42,080 Speaker 1: the company is growing as fast as this company is growing, 436 00:23:42,359 --> 00:23:45,119 Speaker 1: we're always found to miss something like being part of 437 00:23:45,160 --> 00:23:47,440 Speaker 1: this company, in part of something greater than yourself. It 438 00:23:47,480 --> 00:23:49,879 Speaker 1: should be motivating and inspiring to see that pass as 439 00:23:49,920 --> 00:23:54,639 Speaker 1: an organization moved in the right direction. Honestly, listening to 440 00:23:54,680 --> 00:23:57,520 Speaker 1: Adam say these things was a strange experience for me. 441 00:23:58,119 --> 00:24:00,480 Speaker 1: He's telling his employees they shouldn't come lane if they're 442 00:24:00,480 --> 00:24:02,960 Speaker 1: paid under market or don't get credit for their ideas, 443 00:24:03,200 --> 00:24:06,080 Speaker 1: that it's for the greater good. And if they aren't 444 00:24:06,080 --> 00:24:09,480 Speaker 1: wholeheartedly embracing the we work mission, they don't belong there. 445 00:24:10,760 --> 00:24:13,080 Speaker 1: This isn't a side of Adam I had seen before. 446 00:24:13,640 --> 00:24:15,679 Speaker 1: It's stuff he'd never say in front of a journalist. 447 00:24:16,440 --> 00:24:19,560 Speaker 1: Adam had succeeded in projecting the image of being charismatic 448 00:24:20,040 --> 00:24:24,760 Speaker 1: charming and gregarious, someone who won people over, but internally 449 00:24:25,000 --> 00:24:28,080 Speaker 1: he was a divisive figure. There were some employees and 450 00:24:28,119 --> 00:24:29,879 Speaker 1: exects who would have followed him to the ends of 451 00:24:29,880 --> 00:24:33,000 Speaker 1: the earth. There were others who were put off by him, 452 00:24:33,040 --> 00:24:35,320 Speaker 1: Like Cody, I just yeah, I just wanted to stay 453 00:24:35,359 --> 00:24:38,399 Speaker 1: out of his way as much as possible. Sometimes it 454 00:24:38,440 --> 00:24:41,280 Speaker 1: made her act a little awkward. I got trapped in 455 00:24:41,320 --> 00:24:43,320 Speaker 1: a hallway once. It was like just him and I, 456 00:24:43,400 --> 00:24:46,680 Speaker 1: and I was like, like, there was no turn to take, 457 00:24:46,880 --> 00:24:49,320 Speaker 1: and like he walked by with this like giant frame 458 00:24:49,400 --> 00:24:52,000 Speaker 1: and was just sort of looked at me, okay, And 459 00:24:52,040 --> 00:24:55,520 Speaker 1: I was like like, I was like, oh, just like 460 00:24:55,600 --> 00:24:58,680 Speaker 1: kept going. Cody wasn't the only one who was having 461 00:24:58,680 --> 00:25:01,199 Speaker 1: these doubts about her job. Karl and the rest of 462 00:25:01,240 --> 00:25:04,600 Speaker 1: his coworkers on the Community team were exhausted by the 463 00:25:04,680 --> 00:25:08,439 Speaker 1: highs and lows. Their jobs were demanding, but also sometimes 464 00:25:08,480 --> 00:25:11,920 Speaker 1: incredibly rewarding. People called it the cult of we work 465 00:25:12,000 --> 00:25:14,560 Speaker 1: for a reason because when you were in it, and 466 00:25:14,600 --> 00:25:18,040 Speaker 1: because I witnessed this myself, community was a very powerful thing. 467 00:25:18,520 --> 00:25:22,040 Speaker 1: That value of community of people helping each other was 468 00:25:22,080 --> 00:25:25,200 Speaker 1: really motivating to him and his coworkers, even when things 469 00:25:25,200 --> 00:25:28,320 Speaker 1: felt overwhelming. I hate calling it a cult, but it 470 00:25:28,320 --> 00:25:30,520 Speaker 1: really was, like you know, everybody that we worked that 471 00:25:30,600 --> 00:25:32,320 Speaker 1: was basically what drove them was the idea of like 472 00:25:32,359 --> 00:25:35,080 Speaker 1: community can solve everything, Like this idea of like if 473 00:25:35,080 --> 00:25:37,879 Speaker 1: we work together, we can overcome it all. And um, 474 00:25:39,119 --> 00:25:41,000 Speaker 1: that was a big part of us working. It was 475 00:25:41,080 --> 00:25:44,040 Speaker 1: kind of like that belief that you know, if we failed, 476 00:25:44,119 --> 00:25:46,720 Speaker 1: the community would fail, like we have to never give up, 477 00:25:46,840 --> 00:25:49,720 Speaker 1: always keep going. And these people rely on us and 478 00:25:50,160 --> 00:25:52,160 Speaker 1: their businesses are doing so well, They're doing so many 479 00:25:52,160 --> 00:25:55,600 Speaker 1: cool things. We're really supporting an ecosystem of entrepreneurs who 480 00:25:55,600 --> 00:25:57,400 Speaker 1: are trying to change the world, like we are part 481 00:25:57,720 --> 00:26:00,640 Speaker 1: of that change in the world. And that was like 482 00:26:00,800 --> 00:26:04,560 Speaker 1: a drug. It was so powerful. It got us through 483 00:26:04,600 --> 00:26:08,960 Speaker 1: the worst days and and it was real. Of course, 484 00:26:09,040 --> 00:26:13,040 Speaker 1: Adam loved talking about community too. So community is not 485 00:26:13,160 --> 00:26:16,119 Speaker 1: something that we just say that we are community, something 486 00:26:16,160 --> 00:26:19,240 Speaker 1: that we are in. Every single department in this company 487 00:26:19,400 --> 00:26:21,560 Speaker 1: has community, and it if it's how you interact with 488 00:26:21,600 --> 00:26:24,520 Speaker 1: your fellow employees, how you interact with other departments, and 489 00:26:24,520 --> 00:26:27,080 Speaker 1: then how you interact with any members or anybody else 490 00:26:27,119 --> 00:26:29,840 Speaker 1: that you meet as a group, the more we we 491 00:26:29,920 --> 00:26:31,879 Speaker 1: will be the more communal we will be, the more 492 00:26:31,960 --> 00:26:34,640 Speaker 1: successful we're able to be as a as a company 493 00:26:34,640 --> 00:26:37,159 Speaker 1: and as a corporation, to be able to change the 494 00:26:37,200 --> 00:26:39,840 Speaker 1: world and make the difference. That it is the difference 495 00:26:39,880 --> 00:26:42,480 Speaker 1: that which really care about it. Did you catch him 496 00:26:42,520 --> 00:26:45,680 Speaker 1: saying the more we we will be, the more successful 497 00:26:45,760 --> 00:26:49,959 Speaker 1: we will be. Adam uses the word we in weird ways. 498 00:26:50,480 --> 00:26:52,880 Speaker 1: It's like a catch all for this special energy at 499 00:26:52,920 --> 00:26:57,640 Speaker 1: we work, the power of we, the we generation. Years later, 500 00:26:57,800 --> 00:27:01,680 Speaker 1: he'll actually rename we Work the We Company, a decision 501 00:27:01,840 --> 00:27:05,919 Speaker 1: that will backfire in a spectacular way. Carl's boss has 502 00:27:06,000 --> 00:27:08,840 Speaker 1: talked a lot about the idea of community, but what's 503 00:27:08,840 --> 00:27:11,960 Speaker 1: funny is that Carl and his coworkers discovered another kind 504 00:27:11,960 --> 00:27:15,280 Speaker 1: of community with each other when they bonded over how 505 00:27:15,320 --> 00:27:18,480 Speaker 1: tough their jobs were. Carl said, it was like being 506 00:27:18,480 --> 00:27:21,520 Speaker 1: war buddies. It's almost like comparing generals and foot soldiers, 507 00:27:21,520 --> 00:27:23,359 Speaker 1: like the guys who would die for you in a foxhole, 508 00:27:23,520 --> 00:27:26,120 Speaker 1: completely different than the general sitting in a nice room. 509 00:27:26,640 --> 00:27:29,919 Speaker 1: When when you talk with the camaraderie amongst employees on 510 00:27:29,960 --> 00:27:32,800 Speaker 1: a very base level, people who have worked in community, 511 00:27:32,920 --> 00:27:35,960 Speaker 1: everybody supports each other because they all understand how rough 512 00:27:36,000 --> 00:27:38,200 Speaker 1: the job can be, the awful things that have happened 513 00:27:38,200 --> 00:27:42,200 Speaker 1: to them, and there is a level of um sympathy 514 00:27:42,280 --> 00:27:45,199 Speaker 1: and emotional connection that you have or like again that 515 00:27:45,240 --> 00:27:46,639 Speaker 1: crying things like if you have to cry at where it, 516 00:27:46,640 --> 00:27:48,360 Speaker 1: come talk to me, come find me, or come find 517 00:27:48,359 --> 00:27:51,879 Speaker 1: another of your teammates and they'll help you. There's another 518 00:27:51,920 --> 00:27:55,159 Speaker 1: thing that kept we Work employees going, the promise of 519 00:27:55,200 --> 00:27:58,680 Speaker 1: getting rich someday. When employees joined the company, they're given 520 00:27:58,760 --> 00:28:03,000 Speaker 1: some shares, and Adam would suggest that those shares were valuable. 521 00:28:03,600 --> 00:28:07,080 Speaker 1: Here's how Cody first heard that message. It was Hanuka 522 00:28:07,160 --> 00:28:10,800 Speaker 1: party and I just started. He wanted all new hires 523 00:28:10,840 --> 00:28:13,680 Speaker 1: within a month to go up on stage, so I did. 524 00:28:14,280 --> 00:28:16,720 Speaker 1: He was talking about like we're investing in you too 525 00:28:16,960 --> 00:28:21,560 Speaker 1: by like giving you shares, and so he definitely framed 526 00:28:21,560 --> 00:28:23,959 Speaker 1: it in a way that was like felt like it 527 00:28:24,000 --> 00:28:27,840 Speaker 1: was an even trade of sorts, and I think that 528 00:28:28,119 --> 00:28:31,159 Speaker 1: a lot of people like took that to heart. I 529 00:28:31,200 --> 00:28:33,560 Speaker 1: think that had a big effect on a lot of people. 530 00:28:34,040 --> 00:28:36,200 Speaker 1: They're like, I'm working twelve hour days and I don't 531 00:28:36,200 --> 00:28:38,920 Speaker 1: get paid overtime, but like it's going to come back 532 00:28:38,960 --> 00:28:43,080 Speaker 1: to us tenfolds, like at a later date. Basically, I 533 00:28:43,080 --> 00:28:46,080 Speaker 1: can understand why some employees thought they might get rich. 534 00:28:46,640 --> 00:28:49,000 Speaker 1: When Cody joined We Work, it was valued at five 535 00:28:49,080 --> 00:28:51,680 Speaker 1: billion dollars. And keep in mind the company was only 536 00:28:51,720 --> 00:28:54,120 Speaker 1: four years old at the time, and by the time 537 00:28:54,200 --> 00:28:57,040 Speaker 1: Cody left We Worked just two years later, the company 538 00:28:57,080 --> 00:29:00,680 Speaker 1: was valued at seventeen billion dollars. So equity and we 539 00:29:00,760 --> 00:29:04,120 Speaker 1: Work was a tantalizing thought. Cody, like a lot of 540 00:29:04,120 --> 00:29:07,120 Speaker 1: her coworkers, had never held equity in a company before. 541 00:29:07,640 --> 00:29:11,080 Speaker 1: It's an extremely complicated topic. Even people with a lot 542 00:29:11,120 --> 00:29:13,959 Speaker 1: of experience have trouble assessing how much shares like this 543 00:29:14,040 --> 00:29:17,480 Speaker 1: might be worth in the future. In general, startup employees 544 00:29:17,480 --> 00:29:19,640 Speaker 1: can only cash in on their equity if the company 545 00:29:19,640 --> 00:29:22,800 Speaker 1: goes public or if it gets bought by another company. 546 00:29:23,680 --> 00:29:26,520 Speaker 1: But back then things were looking optimistic for We Work. 547 00:29:27,120 --> 00:29:30,200 Speaker 1: Many employees were working under the assumption, don't worry about 548 00:29:30,200 --> 00:29:32,720 Speaker 1: the details. It's all going to work out someday in 549 00:29:32,760 --> 00:29:36,040 Speaker 1: a really big way. Even if Adam didn't say those 550 00:29:36,080 --> 00:29:41,000 Speaker 1: words exactly, I think that, you know, he was pretty 551 00:29:41,000 --> 00:29:42,920 Speaker 1: smart about the way that he would word things like 552 00:29:43,000 --> 00:29:47,800 Speaker 1: he wouldn't out right say like we're gonna have a 553 00:29:47,840 --> 00:29:50,160 Speaker 1: lot of money someday, Like you wouldn't say anything like that, 554 00:29:50,240 --> 00:29:56,280 Speaker 1: but he definitely made people feel and believe that all 555 00:29:56,360 --> 00:29:59,440 Speaker 1: of this stuff that they're doing and putting up with 556 00:29:59,600 --> 00:30:03,000 Speaker 1: on a day today basis is going to reward them later. 557 00:30:03,720 --> 00:30:09,040 Speaker 1: I remember specific conversations with other employees that this person 558 00:30:09,080 --> 00:30:11,760 Speaker 1: in particular was like, it's your your shares gonna be 559 00:30:11,800 --> 00:30:14,600 Speaker 1: worth so much money, Like like, don't even worry about it, 560 00:30:15,360 --> 00:30:17,440 Speaker 1: Like how do you how do you know that? It's 561 00:30:17,480 --> 00:30:19,360 Speaker 1: like I just do. I just know, Like it's like 562 00:30:19,440 --> 00:30:21,920 Speaker 1: there's no way this is going to fail. And that 563 00:30:22,040 --> 00:30:33,640 Speaker 1: was that was a real conversation. Cody eventually left the company. 564 00:30:33,760 --> 00:30:38,400 Speaker 1: In when I left, my parents drove out with the 565 00:30:38,520 --> 00:30:42,040 Speaker 1: U haul and moved me home. Um I also, I 566 00:30:42,200 --> 00:30:44,840 Speaker 1: was like I gotta get out of here, Like you know, 567 00:30:45,680 --> 00:30:48,480 Speaker 1: I love New York and it's an amazing place, but 568 00:30:48,640 --> 00:30:51,400 Speaker 1: like I can't do this on my own, and I 569 00:30:51,560 --> 00:30:54,840 Speaker 1: definitely cannot sustain my life working for this company and 570 00:30:54,920 --> 00:30:57,920 Speaker 1: for these people. After she moved back to Michigan, she 571 00:30:58,080 --> 00:31:00,480 Speaker 1: was hired as an administrator for a design and company 572 00:31:00,560 --> 00:31:02,840 Speaker 1: where she's still working. She said it took her a 573 00:31:02,960 --> 00:31:05,120 Speaker 1: long time to get over the fear and stress that 574 00:31:05,240 --> 00:31:08,000 Speaker 1: had accumulated while she was at WE Work. It took 575 00:31:08,120 --> 00:31:14,200 Speaker 1: me six or eight months to not go into work 576 00:31:14,600 --> 00:31:17,920 Speaker 1: with like a panic or to like assume that somebody 577 00:31:18,080 --> 00:31:20,200 Speaker 1: was going to be like yelling at me or mad 578 00:31:20,240 --> 00:31:22,800 Speaker 1: at me. I was just like on guard all the time, 579 00:31:23,080 --> 00:31:26,240 Speaker 1: all the time, just like waiting for somebody to like 580 00:31:26,440 --> 00:31:30,120 Speaker 1: come at me with something. We reached out to representatives 581 00:31:30,160 --> 00:31:32,200 Speaker 1: for WE Work in Adam Newman to ask them to 582 00:31:32,280 --> 00:31:34,880 Speaker 1: respond to the things we covered in this episode. They 583 00:31:34,960 --> 00:31:39,240 Speaker 1: largely declined to comment. But back in WE Work was 584 00:31:39,320 --> 00:31:42,720 Speaker 1: known for its high pressure and intense environment, and Adam 585 00:31:42,840 --> 00:31:45,440 Speaker 1: justified this by saying they were working on something with 586 00:31:45,640 --> 00:31:48,640 Speaker 1: really high stakes. It was an idea that Adam was 587 00:31:48,720 --> 00:31:52,520 Speaker 1: drilling in again and again. Working at WE Work is special. 588 00:31:53,040 --> 00:31:55,840 Speaker 1: It's not like any other job. So don't mess it up. 589 00:31:56,240 --> 00:32:00,360 Speaker 1: And none of us want to look back and say 590 00:32:00,400 --> 00:32:03,040 Speaker 1: I could have done more. I could have been there 591 00:32:03,040 --> 00:32:04,920 Speaker 1: a little bit more, This could have been bigger, This 592 00:32:04,960 --> 00:32:07,680 Speaker 1: couldn't been better. That's not acceptable. You do not get 593 00:32:07,720 --> 00:32:10,120 Speaker 1: a chance like this again, none of us do, and 594 00:32:10,280 --> 00:32:15,520 Speaker 1: therefore we need to own this. You do not get 595 00:32:15,560 --> 00:32:19,440 Speaker 1: a chance like this again. A little foreboding right. That's 596 00:32:19,480 --> 00:32:22,160 Speaker 1: the message. Adam told employees to motivate them, to make 597 00:32:22,240 --> 00:32:25,600 Speaker 1: them stay and to make them work. For many years, 598 00:32:25,760 --> 00:32:29,000 Speaker 1: employees accepted this. But next week we'll give you a 599 00:32:29,040 --> 00:32:32,360 Speaker 1: look at two employees who fought back. At some point, 600 00:32:32,640 --> 00:32:36,000 Speaker 1: someone stood up and said enough, I won't take this anymore. 601 00:32:45,960 --> 00:32:49,360 Speaker 1: Foundering is hosted by me Ellen Hewitt. Sean When is 602 00:32:49,400 --> 00:32:53,680 Speaker 1: our executive producer. My Aquava is our associate producer. Raymondo 603 00:32:53,840 --> 00:32:56,880 Speaker 1: mixed the show today. Mark Million and Vander May and 604 00:32:56,960 --> 00:33:00,400 Speaker 1: Alistair Barr are our story editors. Francesco Levi is the 605 00:33:00,440 --> 00:33:03,680 Speaker 1: head of Bloomberg Podcasts. Be sure to subscribe and if 606 00:33:03,720 --> 00:33:06,720 Speaker 1: you like our show, leave a review. Most importantly, tell 607 00:33:06,760 --> 00:33:08,520 Speaker 1: your friends see you next time.