Post-Election

Zenefits CEO Jumping Ship To Trump?

Human resources software firm Zenefits, which has been beset by legal wrangling over its business practices, is about to lose its captain.

The New York Times reported that Zenefits CEO David O. Sacks is leaving the CEO role, possibly to take a position with the transition team of Donald Trump, the president-elect. That possible move, said NYT, comes as the firm is looking to bring on a new chief executive. Sacks, in the meantime, would maintain a role with the company as chairman.

In an interview with NYT, Sacks said that, for Zenefits, “it’s time to find the next leader,” stating that “we’re looking for an experienced operator to partner with me and take the company to the next level.” He did not confirm to NYT the reasons behind the management shakeup, but he did note that he has not had “formal talks” with the transition team.

NYT noted that the past year has been tough on the company, as the human resources firm was not long ago valued at $4 billion. But its founder, Parker Conrad, was ousted from the firm in the wake of scandal: Zenefits had apparently let unlicensed brokers sell health insurance to customers. In addition, the firm had used software that allowed employees to “game” state insurance licensing exams. The implied valuation of the firm more recently stood at about $2 billion.

——————————

PYMNTS LIVE ROUNDTABLE: TUESDAY, JULY 14, 2020 AT 12:00 PM (ET)

Digital transformation has been forcefully accelerated, but how does that agility translate into the fight against COVID-era attacks and sophisticated identity threats? As millions embrace online everything, preserving digital trust now falls mostly on banks and FIs. Now, advances in identity data and using different weights on the payment mix afford new opportunities to arm organizations and their customers against cyberthreats. From the latest in machine learning for fraud and risk, to corporate treasury teams working in new ways with new datasets, learn from experts how digital identity, together with advances like real-time payments, combine to engender trust and enrich relationships.

Click to comment

TRENDING RIGHT NOW