[HN Gopher] Changes at YC
       ___________________________________________________________________
        
       Changes at YC
        
       Author : todsacerdoti
       Score  : 278 points
       Date   : 2023-03-13 20:42 UTC (2 hours ago)
        
 (HTM) web link (www.ycombinator.com)
 (TXT) w3m dump (www.ycombinator.com)
        
       | ftxbro wrote:
       | > Seventeen of our teammates are impacted today.
       | 
       | guys maybe they were impacted in a good way tho?
        
         | xqcgrek2 wrote:
         | no, they meant the way when a car impacts a wall, or when stool
         | gets impacted in a colon
        
         | tropicaljacket wrote:
         | Maybe your question is a joke but I assume "impacted" means
         | laid off in this context.
         | 
         | Kind of like when people say someone "passed away" to mean they
         | died
        
           | karamanolev wrote:
           | Can we please just use "fired", "let go" or even "we
           | separated with"? Impacted is just soft wording taken to a
           | comedic level.
        
             | smugma wrote:
             | Fired implies with cause. In the US, it would be "laid off"
             | and in the UK it's often "made redundant", which is itself
             | more ambiguous than need be.
        
             | lotsofpulp wrote:
             | "As of today, we are no longer buying labor from 17 people
             | we previously bought labor from".
        
           | ZephyrBlu wrote:
           | Whoosh.
        
       | Ekaros wrote:
       | So where is the bailout for these impacted people? Wasn't it just
       | recently that YC posted a plea to bailout so that people wouldn't
       | be fired? And then they don't do one themselves?
        
         | ethanbond wrote:
         | I'm not necessarily pro-bailout but there's a clear distinction
         | between job losses due to money trapped in a failed institution
         | versus job losses due to a business deciding to eliminate those
         | jobs.
        
         | vorpalhex wrote:
         | You mean like a fund where corps like YC pay into on the
         | regular and then people who are laid off get back some of their
         | salary for a portion of time? It would be like insurance but
         | for being unemployed, just like we have insurance for your bank
         | failing.
        
         | tick_tock_tick wrote:
         | > Wasn't it just recently that YC posted a plea to bailout so
         | that people wouldn't be fired?
         | 
         | No, that never happened where did you see that?
         | 
         | > So where is the bailout for these impacted people?
         | 
         | Unemployment exists and I'd bet a lot they got severance pay.
        
       | djyaz1200 wrote:
       | I'd be very interested in the specifics of how and why late stage
       | investing is so different that the success of YC in early stages
       | doesn't translate.
        
         | PKop wrote:
         | Prices were higher, and upside was lower.
        
         | lchengify wrote:
         | Not privy to special information w.r.t. this change, but I can
         | think of a few:
         | 
         | 1. Breaking focus / competing on multiple fronts. Lots of firms
         | specialize in A-stage or later. By investing in seed and later
         | rather than just seed, the later stage firms see you as a
         | "competitor" for, rather than a "supplier" of, early stage
         | startups. You have that many more competitive relationships
         | rather than cooperative ones.
         | 
         | 2. LP fundraising. LPs have to make choices as to who to fund,
         | especially in this economy. Later stage vetting, returns, etc
         | are different than early stage. May not be worth the heavy lift
         | of competing for LPs.
         | 
         | 3. Specialization. Once you get into later stages, you get
         | firms that specialize by industry vertical. Not just business
         | (marketplace, fintech, hardware) but even within software
         | (SaaS, dev tools, consumer, enterprise, etc). Might make it
         | harder to make deals. You now have a multi-front problem where
         | each potential counter-bidder for the deal lead has hyper
         | specialization to the startup, whereas YC is a generalist by
         | nature.
         | 
         | 4. Competition for deal terms. Most of the time, the deal lead
         | sets the terms. If you can't aggressively bid to lead deals,
         | they may not get the best economy for each of the deals since
         | the lead may have other priorities. This may produce less
         | optimal returns vs just putting more money into seed.
         | 
         | 5. Partner / investor preference. VCs compete for partners /
         | investors. If partners in the late stage at YC are limited to
         | only YC companies vs the whole late-stage market (or have other
         | limitations), it may not work for them vs going to a firm with
         | less terms.
         | 
         | Ultimately as a generalist investor, pre-seed/seed/A-and-later
         | are very different markets. With interest rates this high and
         | everyone being more picky, it becomes harder to outperform
         | unless you can operate in that market independently. I suspect
         | YC looked at a model for their returns and came to this
         | conclusion.
        
           | anyfactor wrote:
           | I just realized w.r.t means "with respect to".
           | 
           | Heck this just happened a few days ago, I recieved an email
           | with that lingo followed by a keyword. I opened a fricking
           | ticket for it, asking if we have any information on that
           | "w.r.t. <word>".
        
         | bsuvc wrote:
         | Well, for one, I imagine the "network" provided by YC is less
         | valuable to late stage companies than it is to early stage, so
         | YC probably found they were not able to bring as much value.
         | 
         | Second, the amount of capital needed to invest in later stages
         | is much higher, and with companies delaying IPO, they would be
         | tying up capital for much longer than they probably expected
         | originally.
         | 
         | I have no insight into YC, this is just my guess as to how it
         | is different.
        
         | illiarian wrote:
         | All of Y Combinator startups try follow the same playbook:
         | successfull exit, or successful IPO. YCombinator benefits from
         | both.
         | 
         | Since most YCombinator startups never see any profit, late
         | stage investment becomes a risky proposition since even "top
         | YCombinator startups" lose billions of dollars a year, for
         | years, with no path to profitability or recouping investments.
        
         | xyzelement wrote:
         | I am not VC but I think this is kinda apparent from the get go.
         | 
         | In early stage you are betting on and nurturing a small team
         | with a full-of-hope business plan. They need relatively small
         | bits of help that can go a along way. So both "who you are
         | chosing among" and "how you are helping them" is very specific.
         | 
         | With bigger companies, the team and the business plan is more
         | proven and they need help navigating size and scaling their
         | offering - a very different set of people you are chosing from
         | and what they need from you.
         | 
         | I am sure there's a lot of additional nuance.
        
           | roflyear wrote:
           | If it is, bad look for YC: obviously they did not think it
           | was apparent, and they should be the experts.
        
             | cm2012 wrote:
             | YC took a risk with a new division and then closed it when
             | it didn't work. That's not a "bad look" at all.
        
               | roflyear wrote:
               | It's a bad look if it's "obviously why it didn't work"
        
               | xyzelement wrote:
               | To be clear, my grandparent post is about how the two
               | domains are obviously different. That's not the same as
               | "obviously wouldn't work out"
        
               | ip26 wrote:
               | If you fail to do something hard, it's easy to guess why;
               | it was hard. But that doesn't impute it was foolish to
               | try.
        
             | xyzelement wrote:
             | These are two separate topics.
             | 
             | The things are obviously different. Why YC thought they
             | might be synergic and where that went wrong is a separate
             | question. I have no idea.
        
             | rosywoozlechan wrote:
             | > bad look for YC
             | 
             | I guess don't apply to them for seed funding for your next
             | big idea if you don't like the way it makes them look.
        
               | roflyear wrote:
               | I wouldn't! They take too much of an ownership %.
        
         | cm2012 wrote:
         | Id guess that YC has a much greater competitive moat in the
         | former. It's much "easier" to do late stage investing - a few
         | big transactions instead of many many small ones, and
         | everyone's working with the same information.
         | 
         | Very few places have the infrastructure to deal with large
         | volumes of start-ups + a lead flow of small companies trying to
         | join YC, so there's no acquisition costs. Add to that, YC's
         | experience with small start-ups compounds - they can probably
         | predict start-up success way better than competitors at this
         | point. That's almost certainly not true for late stage
         | investing.
        
           | danvoell wrote:
           | I would think having seed stage investments would offer
           | additional late stage moat. My first thought was that the
           | current down round later stage environment is squeezing a ton
           | of common equity founders/execs. Its tough to be both founder
           | friendly and investing at later stage prices that leave many
           | startup execs low in equity/motivation.
        
         | rosywoozlechan wrote:
         | > is so different that the success of YC in early stages
         | doesn't translate
         | 
         | that's not a claim made in the article. It just said the late
         | state was different enough to be a distraction from their core
         | mission of being an early stage investor. A company with just
         | an idea and 2 founders and nothing more is obviously very
         | different from a company with many employees, a revenue stream
         | and a long list of customers. It should be obvious how
         | different that is.
        
         | iLoveOncall wrote:
         | It costs a lot more to invest in a late stage startup than an
         | early stage one.
         | 
         | In the current economic climate they probably can't afford (or
         | just don't want to risk) to invest large sums, while on the
         | contrary can "take advantage" of early stage startups which
         | will struggle more to get funding.
        
         | fgimenez wrote:
         | My pithy observation - Early stage investors are fantastic at
         | extrapolating from minimal data points. Late stage investors
         | are fantastic at extrapolating from many noisy data points.
         | They screw up because the methods for each of their
         | extrapolation functions are entirely different, so much so that
         | they manifest as cultural differences in investment firms.
        
         | berkle4455 wrote:
         | > how and why late stage investing is so different
         | 
         | It requires due diligence and knowing how to invest instead of
         | throwing darts and celebrating the occasional bullseye as proof
         | of your acumen.
        
         | uptownfunk wrote:
         | More upside on the table if you get in early. It's probably
         | just not an efficient use of their time since the returns from
         | gettin in early are so outsized.
        
         | richardw wrote:
         | They have the absolute advantage in early stage, from marketing
         | to skills and focus. Surely everyone thinks YC first. Not true
         | in late stage.
         | 
         | Focus. Much easier to have the entire company focused on one
         | thing.
         | 
         | Specialisation of labour. Become experts, make sure nobody
         | catches you.
         | 
         | When you start diluting your goal you trade off focus and
         | specialisation, potentially reducing your advantages.
         | 
         | Now I'm wondering how to apply that to myself. The answer seems
         | obvious but I like being a generalist.
        
       | erickhill wrote:
       | 187 comments almost entirely focused on language usage, and at
       | best two to three words.
       | 
       | Fascinating.
        
         | ptero wrote:
         | Clarity and technical honesty are very important in technical
         | work; especially so in a startup: you want people to focus on
         | solving technical issues, not translating corporatese to human.
         | 
         | Plus, if a group tries to hide behind the wording for an
         | inconvenient message what else would it sweep under the rug? YC
         | is usually _way_ better than this, which may be the reason
         | there is so much attention to the wording which reads like the
         | standard PR spin. My 2c.
        
         | aikinai wrote:
         | Probably because there's not much new in the layoff story that
         | hasn't been covered in tens of thousands of comments on
         | previous layoffs. But this is the first time a lot of people
         | have had an outlet to discuss the frustrating linguistic
         | phenomena that have been on display this cycle.
        
         | hmoodie wrote:
         | not only that but it's the exact same top-comment subthread
         | that appears at the top of literally every story involving
         | corporate comms. I wonder if it's the same people every time or
         | if there's a constant influx of new commenters who feel
         | strongly about corpspeak.
        
         | siva7 wrote:
         | This thread has to be best description of nerds i've seen
        
         | nappy-doo wrote:
         | Yours too
        
         | kerblang wrote:
         | Sticks and bones may break my bones, but words can divert me
         | into hours and hours of endless hairsplitting and bickering
         | until I die of being bored with myself and doctors gather and
         | marvel at the inexplicable fact that I am still complaining in
         | the absence of a discernible pulse
        
       | tempaccount420 wrote:
       | In an already difficult economic climate, it's heartbreaking to
       | hear that these individuals will be impacted by this change in
       | strategy. I hope that YC will do their best to support these team
       | members during this transition.
        
       | mehlmao wrote:
       | Man, YC cared so much about protecting jobs two days ago when
       | they were begging for a bailout. What happened?
        
       | toomuchtodo wrote:
       | Would YC be willing to share more about the effectiveness of the
       | Continuity Fund? A post mortem would be welcomed and valuable
       | imho.
        
       | npalli wrote:
       | In case you are wondering, that is about 20% of the staff.
       | 
       | https://techcrunch.com/2023/03/13/y-combinator-cuts-nearly-2...
        
       | eimrine wrote:
       | That's great (from my sofa's PoV)! If your mission is to fund
       | youngsters and we know the story about that bank from the Silicon
       | valley so this is the best way to save some resources.
        
       | lucb1e wrote:
       | The change that the title hints at:
       | 
       | > we're going to decrease the amount of late stage investing we
       | do
       | 
       | Which allows letting go of 17 employees involved with that, which
       | is 20% of employees. EOF (and that was already more info than the
       | article contained)
        
         | bobobob420 wrote:
         | can those employees not be staffed to other projects? surely
         | the skillsets are reusable. Something is very fishy about this
         | and the timing.
        
           | lucb1e wrote:
           | No no, clearly it is just a coincidence that lay-offs are
           | happening everywhere at the same time. YC must have made a
           | fully independent assessment and decided based on
           | spreadsheets and algorithms that this is the correct business
           | strategy by using past data and developing predictive
           | metrics. Just looking which business unit to cut loose based
           | on cost reductions cannot have been a part of this process.
        
       | distantsounds wrote:
       | just mere days after SVB crashes and burns, wonder how much pg
       | had tied up there.
        
       | Finbarr wrote:
       | The YC Continuity team did amazing work helping me and many other
       | later stage founders. I'm sad to read this news.
       | 
       | YC is best known for their early stage investing. But Ali, Anu
       | and the team created some excellent programs for later stage
       | companies as well. Shogun benefited from the Series A program,
       | Scaling from A to B program, and the YC Growth program. I wonder
       | what's happening with all of those initiatives.
       | 
       | Through these programs and the direct support and mentorship from
       | the Continuity team, we learned a ton and significantly scaled
       | our startup.
       | 
       | Wishing all of the affected team all the best.
        
         | garry wrote:
         | Thanks Finbarr. The group partners and MD's and I know these
         | are important and valuable programs, and there is a lot more we
         | need to be doing for alumni and the experience after companies
         | do YC.
         | 
         | I don't have more to share now, but know that I really value
         | you and this note.
        
       | roflyear wrote:
       | How much $ does YC make per employee?
        
         | i_love_cookies wrote:
         | [dead]
        
       | pwmanagerdied wrote:
       | [dead]
        
       | auggierose wrote:
       | I am wondering if "impacted" is used because really lots of
       | different things have happened to these 17 team mates. Or if
       | "impacted" = "fired", and "team mates" = "ex-employees".
        
         | MattGaiser wrote:
         | That is the point of writing it that way. So you have to do the
         | mental work yourself of translating "impacted" to "fired."
        
       | O__________O wrote:
       | Does this also mean YC is killing off their YC Continuity
       | Programs:
       | 
       | >> Series A Program: Help founders achieve the best possible
       | outcome when raising a Series A via year-round workshops,
       | fundraising guides and 1:1 support.
       | 
       | >> Post-A Program: Batches for YC startups immediately after
       | their Series A to share best practices for growth: managing a
       | board, building a team, key metrics for a Series B and more.
       | 
       | >> YC Growth Program: Graduate school for startups. We bring
       | together cohorts of CEOs of rapidly growing YC companies to focus
       | on the challenges of company building: the changing role of a CEO
       | at scale, setting strategies and success metrics for the
       | organization, hiring and managing great leaders, and more.
       | 
       | Source:
       | 
       | - https://web.archive.org/web/20220812233728/https://www.ycomb...
       | 
       | _____
       | 
       | EDIT: Related comment from Garry on the topic:
       | 
       | - https://news.ycombinator.com/item?id=35143443
        
         | gingerrr wrote:
         | Yes https://news.ycombinator.com/item?id=35142261
        
           | O__________O wrote:
           | Not seeing anything related to the programs I referenced, am
           | I missing something?
        
             | gingerrr wrote:
             | Sorry - the link in that thread is to a tweet, not the
             | article the tweet links, which is what I wanted to link -
             | that article indicates the partners leading the fund (and
             | program) left YC.
             | 
             | Also, the continuity program page (provided info for all 3
             | programs) is completely gone:
             | https://www.ycombinator.com/continuity
             | 
             | I haven't heard specifics about those programs but with the
             | partners leading gone it seems difficult to imagine them
             | continuing - fair point though, no solid news.
        
               | O__________O wrote:
               | Already linked to a source that shows the references to
               | the programs are gone in my original comment; though that
               | page is still there.
               | 
               | Also, might be wrong, but "theinformation.com" as a
               | source is insta ban as a result of it being a "hard
               | walled" content; hard walled meaning it's not possible to
               | access the content via alternative means. If you have a
               | source that's not blocked, feel free to provide it,
               | otherwise just see this as promoting a source that's ban
               | on HN.
               | 
               | Here's all the dead submissions, though you likely have
               | to have "show dead" turned on from your profile settings:
               | 
               | https://news.ycombinator.com/from?site=theinformation.com
        
               | gingerrr wrote:
               | Oof, I don't lurk here during work nearly as much as I
               | used to - missed the memo about it being a banned source,
               | do you have a link for that? In the past that source has
               | unpaywalled articles specifically _for_ HN readers so I
               | 'm saddened (but not really surprised) they decided to go
               | for the full cashgrab.
               | 
               | Not really sure what you want here - the evidence of
               | those programs being affiliated with YC has been scrubbed
               | from the public web, do you not believe in Occam's Razor
               | or are you waiting to find a quote delivered straight
               | from Garry Tan's mouth on the question before you accept
               | the likely conclusion from all evidence?
               | 
               | edit: either way, I don't have a second source - that
               | article from theinformation is the only active story I've
               | found that specifically names the partners leaving.
        
               | O__________O wrote:
               | HN rarely comments on bans, though almost 60 submissions
               | have been posted in past 30-days and every single one is
               | dead.
               | 
               | Here's a comment from dang, the only official HN mod,
               | related to "hardwalled" submissions:
               | 
               | - https://news.ycombinator.com/item?id=35074950
        
               | gingerrr wrote:
               | Oh, got it! Thank you for scrounging that up I was
               | specifically looking for mention of that site, no wonder
               | I didn't find it. Makes a ton of sense in general and
               | it's lame we no longer get a special exception to their
               | wall.
        
               | O__________O wrote:
               | Related comment from Garry:
               | 
               | - https://news.ycombinator.com/item?id=35143443
        
         | throwaway1777 wrote:
         | Probably, or at least scaled back?
        
       | earlystagethrow wrote:
       | [dead]
        
       | blobbers wrote:
       | Can YC post some info on their fund that they're winding down?
       | Would be nice to put that out in the public.
       | 
       | Any YC team members care to comment?
        
       | tabbott wrote:
       | I wish there were some publicly available numbers to analyze
       | here, but it seems likely that YC's late stage funds have lost a
       | lot of money (on paper) doing late-stage investments at sky-high
       | valuations over the years leading up to 2022 that are now down
       | significantly as a result of the current startup downturn.
       | 
       | Folks who are thinking about these YC changes as a layoff are
       | missing the point -- YC is exiting what had been a major part of
       | their business (especially if measured by total dollars
       | invested).
       | 
       | And from the outside it seems likely that the reason for the
       | layoff is probably less that YC is in troubled financial
       | straights and needs to cut costs on its operations, but because
       | their late-stage investing business was losing money and YC has
       | decided to give up on it and no longer has work for specialists
       | in that work.
        
         | swyx wrote:
         | and yet Anu Hariharan and Ali Rowghani seem to be leaving to
         | start a new fund. no failures in VC, just pre-success :)
        
       | breck wrote:
       | I like it. Double down on what people love about YC--getting more
       | people to become entrepreneurs.
       | 
       | The later stages there's plenty of YC companies out there that
       | can help (WeFunder, Mercury, Brex, Clerky, Stripe, LSTE, etc).
        
       | pastabol wrote:
       | "Farisa will arrive." --spray painted at Y Combinator
       | headquarters by a just-now ex-employee, 13 marzo 2023.
        
       | zac23or wrote:
       | Changes? They are layoffs. This PR language is irritating.
        
       | voz_ wrote:
       | > Seventeen of our teammates are impacted today.
       | 
       | Never allow corporations to speak in passive, weak, blameless
       | terms.
       | 
       | Use direct, honest, language, and force them to do the same.
       | 
       | "Seventeen of our teammates are impacted today." - > "We laid off
       | 17 employees today"
       | 
       | "I was impacted by layoffs" -> "Google laid me off" etc
        
         | Kerrick wrote:
         | Maybe they weren't fired? The way the post was worded has me
         | wondering if they'll be retrained and have their roles changed
         | to fit YC's new needs.
        
           | justinator wrote:
           | Exactly the point - passive, weak, blameless terms makes it
           | nebulous on what has happened. Just say you want you need to
           | say - you're the captain of the ship.
        
           | [deleted]
        
           | CydeWeys wrote:
           | Oh c'mon, there's no way this is it. If they hadn't been laid
           | off there wouldn't be an external announcement. You don't
           | post something like this merely to announce that you're
           | retraining some employees.
        
           | MattGaiser wrote:
           | They wouldn't announce it if that were the case. I am curious
           | whether it would have been announced at all without all the
           | heightened economic fear.
        
           | naet wrote:
           | They were 100% laid off. The wording is intentional and
           | standard for the industry.
           | 
           | You aren't "impacted" by changing roles or retraining, you're
           | impacted by losing your job.
           | 
           | "we want to acknowledge and express our appreciation for
           | their substantial contributions" translates to "these people
           | will no longer be contributing as they are laid off effective
           | immediately".
        
             | beebmam wrote:
             | It is important to keep in mind that the companies are the
             | ones doing the impacting. They don't have to lay people
             | off, they're choosing to.
        
         | lcw wrote:
         | I think this is just a matter of opinion. When something severe
         | happens it's natural to not use the most harsh term to describe
         | the event. It doesn't seems like something malicious.
         | 
         | When describing a death many people will say "they are no
         | longer with us" instead of describing the circumstance of
         | death. When talking about traumatic events we as a society have
         | a natural propensity to not use triggering words. There is
         | nothing intrinsically wrong with that unless it's hiding
         | information. As described above no one is hiding anything
         | because we all understand what happened.
        
           | johnfn wrote:
           | Perhaps you could argue over the use of "impacted", but the
           | use of passive voice is pretty objective. "We impacted 17
           | roles today" or perhaps "I impacted 17 roles today" is, well,
           | it's still pretty bad, but at least it takes some
           | responsibility.
        
             | lcw wrote:
             | I agree with you, but I think a passive voice is used
             | correctly in that sentence you are referencing. It puts the
             | emphasis on the impacted employees and then goes on to
             | speak to their contributions. This takes away the company
             | for a moment from the conversation to discuss the "impacted
             | teammates". They were using an active voice up till that
             | point.
        
           | tshaddox wrote:
           | "They are no longer with us" is widely understood and very
           | unlikely to be ambiguous. If you said "they were impacted" I
           | would lodge the same complaint.
        
           | FpUser wrote:
           | >"It doesn't seems like something malicious."
           | 
           | No it seems like weaselicious to me.
        
           | Kwpolska wrote:
           | Death is inevitable, unexpected, unplanned, usually caused by
           | things beyond human control. Layoffs are a planned thing
           | explicitly done by one human to another in order to increase
           | corporate profits.
        
             | 300bps wrote:
             | Layoffs are often a choice between letting a small
             | percentage go or causing the entire company to go out of
             | business.
        
               | swatcoder wrote:
               | * * *
        
               | maximinus_thrax wrote:
               | Do you have some data to back that up? I'm not sure if a
               | small percentage of employees are so expensive as to be
               | the tipping point for a company to go out of business.
        
               | cloverich wrote:
               | Employees are one of or the most expensive part of doing
               | business for many. I guess you could google Gross vs Net
               | margins in various companies or industries as an example
               | (maybe here[1]). But layoffs aren't merely firing people,
               | they are "firing people and not re-hiring for their
               | positions or work." So it's often closing out on entire
               | product strategies, such as the case here with YC.
               | 
               | [1]: https://pages.stern.nyu.edu/~adamodar/New_Home_Page/
               | datafile...
        
               | maximinus_thrax wrote:
               | > Employees are one of or the most expensive part of
               | doing business for many
               | 
               | Not debating that. I'm debating:
               | 
               | > Layoffs are often a choice between letting a small
               | percentage go or causing the entire company to go out of
               | business
               | 
               | Show me a company that MUST let go a SMALL PERCENTAGE of
               | its workforce in order to not go out of business. Meaning
               | a company which is hanging by a thread and that thread is
               | (again) a small percentage of the workforce. Because if a
               | small percentage of the workforce is expensive enough to
               | provide you with the runway you need to continue doing
               | business, that runway is short enough that the company
               | will cease to exist anyway, so the point is moot.
        
           | [deleted]
        
           | herval wrote:
           | When someone is accidental, blameless or unexpected, like
           | someone suddenly dying, it's entirely natural to use
           | something like "passed away". Not the case when someone is
           | directly responsible - "X was murdered by Y" is quite common,
           | I believe?
        
           | maximinus_thrax wrote:
           | Please don't compare death with layoffs. One if an inevitable
           | but tragic part of life the other is an inevitable but tragic
           | part of keeping the shareholders happy.
        
             | khazhoux wrote:
             | I think the whole notion of companies doing things "for the
             | shareholders" is vastly overblown. Doesn't it make perfect
             | sense on its own that YC realized the late-stage game was
             | not working out, and that they were not going to be able to
             | use those people effectively on other work?
        
         | xqcgrek2 wrote:
         | Perhaps they meant seventeen of their teammates have impacted
         | colons? It's an odd thing to share, yes, but these are trying
         | times.
        
         | raz32dust wrote:
         | Why is it the corporation's fault though? We live in a society
         | and governance structure which encourages corporations to
         | consider revenue over everything else. Why would they act
         | differently? What _should_ Google do? Sorry I understand the
         | human cost of layoffs. But it is a reflection of what this
         | society values. If you want corporations to consider the human
         | cost, you need to make it feature in their financials. Or the
         | government should offer better protection to unemployed people.
        
         | cardosof wrote:
         | I, too, prefer that companies spoke in direct, plain terms,
         | without PR shenanigans.
         | 
         | Does anyone know why do they do this, though? Is it to de-risk
         | potential lawsuits or do they believe people prefer that way
         | ("sounds professional")?
        
           | petercooper wrote:
           | Assuming legal signed off on the basic message, I'm guessing
           | it's out of a sense of 'politeness' in a delicate situation.
           | Consider how someone might publicly communicate a
           | relationship breakdown with language like "we're parting
           | ways" or "we have made the decision to end our marriage."
           | _Sometimes_ you get plain, direct language but people might
           | infer acrimony from it.
        
           | madeofpalk wrote:
           | A combination of cargo culting/"sounds professional", and
           | just wanting to make yourself/company look less bad.
        
         | annexrichmond wrote:
         | Never mind " _I_ was impacted by layoffs ", I often see " _my
         | position_ was impacted by layoffs "
        
           | zoklet-enjoyer wrote:
           | I was impacted by layoffs recently. As in, my department was
           | good, but for how long? Should I start looking for another
           | job?
        
           | _puk wrote:
           | In many places, without at will employment, you can't lay an
           | individual off, but actually have to make the position
           | redundant.
        
           | herval wrote:
           | To be fair, that's usually accurate - unlike someone getting
           | fired because of their own performance, layoffs are usually
           | untargeted, and include people that were great at their jobs.
           | 
           | And let's face it, getting fired is a huge stigma, so it's
           | totally understandable that someone would phrase it like
           | that, as the victim of the situation
        
             | pclmulqdq wrote:
             | It's hard to blame anyone for using the "soft" terms about
             | their own situation, since firing tends to be a very
             | sensitive topic. It's not hard to blame companies for using
             | those same terms, since it comes off as "MBA-ish" and
             | sleazy.
        
         | loeg wrote:
         | "Exonerative tense," "mistakes were made," etc.
         | 
         | https://en.wiktionary.org/wiki/past_exonerative
         | 
         | https://en.wikipedia.org/wiki/Mistakes_were_made
         | 
         | https://www.washingtonpost.com/news/the-watch/wp/2014/07/14/...
        
           | DeltaCoast wrote:
           | I've never heard this as an actual term, thank you for
           | sharing.
        
           | stonogo wrote:
           | Submitted for inclusion:
           | https://www.mcsweeneys.net/articles/an-interactive-guide-
           | to-...
        
           | kylecazar wrote:
           | Favorite example has to be Luis Suarez in his apology for
           | very clearly biting a World Cup opponent in front of the
           | world some years ago:
           | 
           | "The truth is that my colleague Giorgio Chiellini suffered
           | the physical result of a bite"
        
             | [deleted]
        
             | alexpotato wrote:
             | I liked Zinedine Zidane's:
             | 
             | "I am sorry I was kicked out of the World Cup final but I
             | was not sorry I headbutted him".
        
             | NoZebra120vClip wrote:
             | He missed a bet in not describing that as a "powerful human
             | mandibular compression"
        
             | xavdid wrote:
             | Some newspapers are really dreadful about this with regards
             | to people killed/injured by cops.
             | 
             | A well-known example from the NYT:
             | 
             | > A reporter was hit by a pepper ball on live television by
             | an officer who appeared to be aiming at her
             | 
             | https://www.poynter.org/ethics-trust/2020/new-york-times-
             | twe...
        
               | zamnos wrote:
               | There was one circulating where the newspaper headline
               | stated that "A man with no active warrants was shot by
               | police." Which is just about the most nefarious way to
               | say "an innocent man was shot by police".
        
               | NikolaNovak wrote:
               | That one I actually understand. Calling somebody innocent
               | is a _very_ strong and contextual  / scoped statement,
               | and ultimately that's what the courts take their time to
               | do (and even they I think kinda stop shy? I don't know if
               | acquitted is the same as innocent. I feel it's more "not
               | proven guilty").
        
               | tjohns wrote:
               | In the US, we have the presumption of innocence. Until a
               | court says you're guilty, you're innocent.
               | 
               | Most modern countries consider this a fundamental right.
        
               | [deleted]
        
               | Zak wrote:
               | Those don't mean the same thing at all, and the headline
               | is weird for any possible set of facts.
               | 
               | The average mass shooter has no active warrants, but most
               | people would consider it correct for the police to shoot
               | him to end his killing spree. The average wanted
               | fugitive, on the other hand is usually arrested without
               | any shooting.
               | 
               | I read the article linked in another comment, and the
               | headline I would give it is "Police kill man while
               | raiding wrong house".
        
               | hk__2 wrote:
               | Isn't it different? IANAL but having an active warrant
               | issued for you doesn't really have anything to do with
               | you being guilty or innocent. It just means the police
               | must conduct you to the juge, either because you're a
               | suspect or (in some countries) a witness.
               | 
               | Edit: I guess this is this story:
               | https://www.actionnews5.com/story/35967817/officers-kill-
               | man...
        
               | bombcar wrote:
               | "A man with no active warrants issued" also perfectly
               | describes every single one of the 9/11 hijackers, but
               | that wouldn't equate out to "innocent" either.
        
               | Syonyk wrote:
               | Careful. Presence or absence of warrants has almost
               | nothing to do with getting shot.
               | 
               | Assuming you have no warrants out for your arrest, should
               | you charge at a police officer with a knife or gun drawn
               | while yelling that you were about to kill them, and then
               | ignore any commands they issued, what would you expect to
               | happen?
        
               | schrodinger wrote:
               | Newspapers also need to be careful to not spout facts
               | about a potential crime that doesn't have a guilty
               | verdict. They'd have to throw an allegedly or something
               | in there to write it as you described which I don't know
               | would read as well. The way they wrote it let them put
               | the facts first (woman hit by pepper ball shot by police)
               | and then hedge the intent with an "appeared to."
        
               | madeofpalk wrote:
               | "Officer involved shooting"
        
               | khazhoux wrote:
               | That example seems fine to me. There is clear attribution
               | (" _by an officer_ "), and the "appeared to be aiming"
               | could be to emphasize that the officer was not just
               | generally shooting into crowd, but targeting individuals.
        
               | [deleted]
        
         | SalmoShalazar wrote:
         | YC is not special. It's a business and they'll use weasel words
         | like the rest of them.
        
         | dllthomas wrote:
         | While those examples do use the passive voice, the passive is
         | not the real problem. "These events impacted seventeen of our
         | teammates" is the active voice, and it is no more forthright.
         | "Mistakes were made by Bob, Sean, and Susan, who have been
         | fired" is (if accurate) quite clear about assigning blame while
         | using the passive. It's true that some people overuse the
         | passive, and for those people noticing and considering whether
         | to rephrase can produce better writing, but insisting on
         | forgoing the passive entirely probably won't. If we want to
         | prevent evasive writing, we should look for and call out
         | evasive writing, whatever voice is used.
        
           | SoftTalker wrote:
           | To me it's the phrase "these events" like it's something
           | beyond their control. Replacing that with "our decision"
           | would be taking more ownership.
           | 
           | Edit: re-reading TFA, they don't attribute the layoffs to
           | "these events" so I'll amend this as being a response
           | directly to the parent comment.
        
             | dllthomas wrote:
             | Right, the active construction does grammatically require
             | we put something there, where in the passive we get to omit
             | it, which is why the passive is sometimes used for evasion.
             | But if you're interested in whether someone is being
             | evasive, just... look at whether they're actually assigning
             | agency appropriately. Grammatical form doesn't answer that.
             | 
             | See also
             | https://languagelog.ldc.upenn.edu/nll/index.php?s=passive
             | for much related amusement.
        
         | jmyeet wrote:
         | What you're talking about linguistically is the difference
         | between passive voice ("I was laid off") vs active voice ("YC
         | fired me"). It is a pervasive technique and a form of blame-
         | shifting. Whenver you see a headline, ask yourself which voice
         | is being used and why. It is a key part of media literacy.
        
         | bloodyplonker22 wrote:
         | I knew an ex co-worker who grew up in another country whose
         | manager, in a "sync up meeting", told him that he was
         | "impacted" and he didn't need to continue work on his current
         | sprint. He came out of the meeting with a smile, had no idea
         | what this meant, and he showed up the next day.
        
           | SoftTalker wrote:
           | Did he get to keep his red stapler?
        
           | smithmayowa wrote:
           | Damn that sucks dude probably thought he was being praised or
           | something.
        
         | fdomig wrote:
         | You are absolutely right. This is the only correct wording.
        
         | concordDance wrote:
         | Does this accomplish anything other than increasing resentment?
        
           | [deleted]
        
           | roflyear wrote:
           | It's precise, and language should be precise: http://www.butt
           | e.edu/departments/cas/tipsheets/style_purpose....
        
           | rad_gruchalski wrote:
           | Yes. It makes one admit to a mistake. Intellectual honesty.
           | "We failed" instead of "we are a victim of circumstances".
           | 
           | Edit: however, a pr release with language other than what's
           | written on the linked page can be a liability.
        
           | comte7092 wrote:
           | Begs the question, what do you think companies gain by using
           | such passive language?
        
             | pastabol wrote:
             | A number of reasons already discussed, but in person it has
             | the "benefit" of slowing down (drawing out) bad news. It's
             | like string betting in poker, but it's also a way of
             | showing dominion over time (by burying the lede and making
             | someone anxious.)
        
             | aatd86 wrote:
             | Sometimes it's not for the company but for the person who
             | was laid off.
             | 
             | To mean that the person was laid off but it wasn't their
             | fault. It's their position that was impacted. Somehow.
             | 
             | Result the same but sentiment might be dulled a little. Not
             | blaming the person but blaming external conditions that
             | resulted in someone being made redundant.
        
             | jeron wrote:
             | when you first read it, did you feel better or worse for
             | the employees when they wrote impacted vs "laid off"
        
               | sverhagen wrote:
               | I went back to GitLab's announcement, because I thought
               | it was better:
               | https://about.gitlab.com/blog/2023/02/09/gitlab-news/
               | 
               | Turns out, it says: "reduce the size of our team by 7%",
               | which also isn't as specific as the OP is suggesting.
               | 
               | HOWEVER, they then go on to spend more than half of their
               | post explaining how the impacted staff is supported, and
               | YES, that did make me feel better.
        
             | rodgerd wrote:
             | Distancing. It lets people who make these decisions portray
             | themselves as the helpless victims of the way things are,
             | rather than people who have made choices that have led to
             | this.
             | 
             | "The market says that we need to downsize" sounds a lot
             | better than "an investment analyst says I go, or you go".
        
             | MattGaiser wrote:
             | You have to stop and think about what it really means.
             | "Impacted" just means something happened. You have to do
             | the legwork to get to "called into a meeting and fired."
        
         | breakingrules wrote:
         | I actually believe he put out a 10/10 example of how this
         | should be done. We all know what he meant, he was concise and
         | then reminded you of the mission and that this is all about the
         | mission.
        
           | slantedview wrote:
           | Maybe you can grant him 9/10, but you always have to deduct
           | some points for hiding behind euphemisms.
        
             | [deleted]
        
             | i-use-nixos-btw wrote:
             | 9 would be far too high IMHO.
             | 
             | If you're laying people off, say it straight and with a
             | backbone. The language is passive, weak and makes it sound
             | like a mere consequence of a slight breeze upon a dainty
             | leaf causing it to gently fall from a tree.
             | 
             | 17 people lost their jobs. Likely many of those have
             | families to feed, houses to uphold and bills to pay. In
             | this economy, the same will likely happen to many of us and
             | a statement like the above would feel like a punch to the
             | gut.
             | 
             | The uppercut that follows is:
             | 
             | > we want to acknowledge and express our appreciation for
             | their substantial contributions.
             | 
             | Saying you want to acknowledge and express something is not
             | the same thing as acknowledging and expressing something. A
             | statement would struggle to get more generic than this.
        
         | bradleyjg wrote:
         | Laid off is itself a less harsh version of fired.
        
           | pcl wrote:
           | In the US, "laid off" has a pretty substantially different
           | meaning than "fired".
           | 
           | "Laid off" usually means that the company shut down a group
           | of roles, and the individuals happened to be in those roles
           | and so lost their jobs.
           | 
           | "Fired" usually means that the individual was intentionally
           | let go because of behavior / competence / etc. of the
           | individual, not the group.
        
           | itronitron wrote:
           | We hereby lay their employment with us to rest.
        
           | schrodinger wrote:
           | There's usually a significant difference for the individual
           | where laid off means you get unemployment while fired
           | (implies cause) does not.
        
           | margalabargala wrote:
           | They're not quite the same, those two terms have taken on
           | different meanings. "Fired" has come to mean "for cause", and
           | "laid off" has come to mean "not for cause".
        
             | bradleyjg wrote:
             | My hunch is that the evolution was driven by executives,
             | probably in the 70s and 80s, that didn't want to say they
             | were firing people in order to make more money.
             | 
             | In other words the same dynamic that now leads to
             | 'impacted'.
        
               | ip26 wrote:
               | It's a very useful distinction; it likely would have
               | evolved one way or another.
        
               | femto113 wrote:
               | In the UK they have the term "redundancy" (as in "your
               | position has been made redundant"). Can't see that term
               | catching on in the US but it does cover the use of "laid
               | off" to mean "the company chose to eliminate the position
               | I worked in rather than choosing to get rid of me as a
               | person", and thus may carry less stigma.
        
             | heyyyouu wrote:
             | And "laid off" means eligble for uneployment; "fired" often
             | does not.
        
             | adfm wrote:
             | For some, "laid off" has the same connotation as furlough.
        
               | tomnipotent wrote:
               | A furloughed employee has the expectation that employment
               | can resume with the company, while a laid off employee
               | does not. This is important for tax and other legal
               | considerations.
        
               | r_hoods_ghost wrote:
               | This very much depends on where you are. For example in
               | the UK a lay off technically means being told to stay at
               | home because there isn't enough work [1], although it's
               | often used these days to mean "fired without cause", i.e.
               | the American usage of lay off has become more common and
               | it has simultaneously became common to use the term
               | "furlough" to describe layoffs during the pandemic.
               | 
               | [1]https://www.gov.uk/lay-offs-short-timeworking
        
               | plorkyeran wrote:
               | It had that connotation 50 years ago, but anyone who
               | thinks it still does is just confused.
        
             | SilasX wrote:
             | It's the opposite: they started out distinct, but then, by
             | the euphemism treadmill, became used interchangeably.
             | 
             | And if you go back even further it meant something even
             | milder, like furloughed or terminated with the intent to
             | rehire when expected business picks up.
        
           | wyldfire wrote:
           | They're related, I suppose. But there's a real, meaningful
           | difference between the two.
        
           | sidlls wrote:
           | Depends on the circumstances. I associate "fired" with a
           | negative reason (e.g. performance, theft, harassment). "Laid-
           | off" doesn't carry the same connotation.
        
           | bink wrote:
           | Fired -> Let go -> Laid off -> Impacted
           | 
           | I'll be curious to see what comes next.
        
             | smallerfish wrote:
             | Reassigned to an external role
        
             | ip26 wrote:
             | Fired still semi-exists. Let go seems to show up for
             | insufficient performance, e.g. semi-amicable "it's not
             | working out". Fired shows up when somebody really screwed
             | up, e.g. laws were broken or products failed.
        
             | zen_1 wrote:
             | Selected for new and exciting opportunities!
        
             | caseysoftware wrote:
             | "Fixed the error"
        
             | nsenifty wrote:
             | Completed? (like in Never let me go[0])
             | 
             | [0] https://en.wikipedia.org/wiki/Never_Let_Me_Go_(novel)
        
               | morelisp wrote:
               | Carousel!
        
             | rvnx wrote:
             | "Let go" is the worst, it implies "I let you go" -> "I
             | allow you to leave" which is the ultimate humiliation when
             | you are getting fired
        
               | Arrath wrote:
               | I think of it more like the protagonist (or antagonist,
               | one could argue) of a movie holding on to the hand of
               | someone (employee) about to fall off of a cliff (the
               | descent, ultimately, to poverty and homelessness) just to
               | make the metaphor as vivid as possible.
        
             | Throw10987 wrote:
             | Role is "disestablished"
        
             | lotsofpulp wrote:
             | Terminated is to the left of fired.
        
               | bradleyjg wrote:
               | Playing around at the online etymology dictionary, it
               | appears dismiss is the oldest--early 15th century. Sack
               | and fire are from the 19th century, and laid off in this
               | sense isn't until the 1960s. Terminate, as in dismiss
               | from a job, is first attested in 1973.
        
             | nemo44x wrote:
             | Can't we all just agree on "shit canned"?
             | 
             | "Today we are announcing that 10% of our company is being
             | shit canned".
        
           | make3 wrote:
           | fired usually means, with cause. laid off is for when a lot
           | of people are getting cut at the same time because upper
           | management asked to do big cuts
        
             | SoftTalker wrote:
             | Yes, and importantly if you are laid off you generally can
             | get unemployment compensation. If you are fired for cause
             | you often cannot.
        
         | ak_111 wrote:
         | This comment comes across as a silly nitpick given the sober
         | content of the post, but I think it is completely fair given
         | Paul Graham's many writings and tweets on the virtues of
         | writing clearly and his hatred of what I call corporatese.
        
           | marktani wrote:
           | Not sure how involved pg was with this post as its stated
           | author Garry Tan
        
             | ak_111 wrote:
             | You would imagine he read it at some point. You would also
             | imagine his CEO would have internalised Paul Graham's most
             | important piece of advice about communication (writing
             | clearly).
        
         | simonebrunozzi wrote:
         | When there's a PR person involved, truth goes away, double-
         | speak comes in. Even in the case of YC, which in general is way
         | better than most other organizations.
        
           | beebmam wrote:
           | There's nothing diplomatic about it. It enrages me far more
           | than the truth.
        
             | [deleted]
        
             | lazide wrote:
             | For you, but often for others it doesn't.
             | 
             | It depends on if someone wants to believe the truth, or
             | believe something else. Most want to believe something
             | else.
        
               | grayhatter wrote:
               | hackers don't though; as a rule, hackers value truth over
               | comfortable lies.
        
         | warent wrote:
         | This immediately stood out to me as well! It didn't come across
         | as tactful, just bizarre
        
         | bovermyer wrote:
         | Passive voice afflicts many people's writing, not just
         | corporations. Yes, it's a bad practice, but I don't feel it's
         | egregious in this case.
        
           | [deleted]
        
           | comte7092 wrote:
           | That is a reasonable argument if one assumes that this is an
           | unconscious choice, however, passive voice has become the
           | standard with these types of press releases. It is a
           | conscious, intentional choice.
        
           | pastabol wrote:
           | Passive voice is a tool. It's perfectly valid and
           | grammatical. The problem is the abuse of it to misrepresent
           | one's agency or responsibility, but there's nothing wrong
           | with the sentence, "I was hit by a car on the way to work."
           | 
           | The issue with corporate passive is that business language is
           | not only ugly but serves evil purposes. In person, it exists
           | to slow down bad news so you can read and manipulate people
           | ("string betting") and, on paper, its raison d'etre is to
           | project authority to which one has no actual right.
        
         | itronitron wrote:
         | There isn't even a need for a public blog post about this
         | change in business strategy. This reads fine as an internal
         | email, but I've never worked at a company that publicly
         | referenced their layoffs.
        
       | [deleted]
        
       | fairity wrote:
       | I can think of a few reasons why YC would make this decision
       | without admitting so publicly:
       | 
       | 1) Too much negative signaling risk when they don't make follow-
       | on investments
       | 
       | 2) Negative returns given the recent downturn
       | 
       | 3) The increasing business need to make non-founder friendly
       | changes in late stage companies (e.g. replacing CEO)
       | 
       | 4) Anu/Ali deciding to leave first to start their own fund
       | 
       | I wonder if any of these reasons is a predominant driver.
        
       | [deleted]
        
       | greatpostman wrote:
       | Wonder if this is related to the current down turn in risk assets
       | and the venture capital blow up
        
         | doodlesdev wrote:
         | I find it almost impossible to not see them as related. Take a
         | look at [0]. Long-term this could be a good decision, I believe
         | early-stage investing really is different to late-stage
         | investment, but of course the moment to make this decision
         | makes it evident there are other factors at play that influence
         | this.
         | 
         | [0]: https://news.ycombinator.com/item?id=35114009
        
           | dang wrote:
           | The timing does make that almost impossible! But if you want
           | the actual connected edge in the directed graph I believe
           | it's https://news.ycombinator.com/item?id=32637686.
        
             | doodlesdev wrote:
             | Hmm, that does make sense. The other comment here said that
             | this kind of change is almost impossible to happen is such
             | as short amount of time, which makes sense. Maybe they were
             | already planning for a change in strategy by the new CEO,
             | and this just happened to be an appropriate time to get
             | done with the change already.
             | 
             | edit: Oh well the other commenter was the new CEO LOL, not
             | used to reading usernames. I guess that adds a bit of bias
             | but I believe it's a true statement.
        
           | garry wrote:
           | Changes of this sort cannot happen in a very short amount of
           | time. The timing was coincidental.
        
             | bigbraintheroom wrote:
             | I have made changes with other C-level employees in under
             | 30m which had more than 30m of impact.
             | 
             | Can you explain how that would not be the case here? Not
             | understanding how this timing is "coincidental", it doesn't
             | appear to be that way at all.
        
         | garry wrote:
         | It's not, this is about making YC awesome for early stage
         | founders right at the beginning.
        
           | echelon wrote:
           | YC does early stage well. Spreading out focus and capital
           | over other stages takes energy away from this.
           | 
           | Other firms already have a good grasp of late stage and it'd
           | be a battle for YC to improve over this.
           | 
           | Maybe YC can return to late stage later when the environment
           | changes.
        
         | dang wrote:
         | It's not--my understanding is that it's been in the works for
         | quite a bit longer than that.
        
         | bobleeswagger wrote:
         | I don't think the timing is random considering the climate. I
         | have a feeling these seventeen will land softly compared to
         | 99.9% of those caught up in recent layoffs.
        
         | zamnos wrote:
         | "current down turn in risk assets" is almost as wonderful a
         | phrase as "17 team members were impacted". The fact is that
         | SIVB shares are now worth $0, and that many VCs and LPs were
         | surely holding those can't be a total coincidence with today's
         | "changes".
        
       | johnbellone wrote:
       | This wasn't the announcement I expected.
        
       | bionade24 wrote:
       | Y combinator website hugged to death by hacker news. Lmao.
        
       | martin_a wrote:
       | Title should be "YC fires 17 people". Can someone change that?
        
         | jefftk wrote:
         | "fire" != "laid off"
        
           | aidenn0 wrote:
           | "laid off" is a subset of "fired" "to fire" just means "to
           | dismiss from a job" which includes lay-offs.
        
           | zamnos wrote:
           | At the very least, we can agree that " _Changes_ at YC " is
           | burying the lede?
        
             | nostrademons wrote:
             | Only if you're not fluent in corporatease. Whenever I see
             | an e-mail entitled "Changes in [some organization]", I
             | assume that one or more of the following is true:
             | 1. The leader is leaving.       2. People are getting laid
             | off.       3. They're exiting a line of business.       4.
             | They sold the company.
        
           | 2OEH8eoCRo0 wrote:
           | I agree. You're fired when you sexually harass or suck eggs.
           | Being laid off doesn't have the stigma for the employee.
        
             | balls187 wrote:
             | Yes it absolutely does carry a stigma.
             | 
             | What companies layoff their best people?
             | 
             | (I say as someone who has been laidoff)
        
               | 2OEH8eoCRo0 wrote:
               | Competent people who were effective at their job are laid
               | off all the time. You're basically saying there's a
               | stigma to not being the best at work.
        
               | zamnos wrote:
               | I mean if the company is pivoting and closing the entire
               | division because they no longer need to, eg, make film
               | cameras or make buggy whips, why would you keep anybody
               | from there around? You don't need their expertise any
               | longer. Even if they were the best at their job, if
               | you're not doing those things any more, what would you
               | keep them around for?
        
               | davidw wrote:
               | A company might lay off really good people when shutting
               | down an entire business line, for example. It's different
               | than firing someone.
        
               | adamckay wrote:
               | > What companies layoff their best people?
               | 
               | Any company where the execs and decision makers are so
               | far removed from the people they're judging, where they
               | won't even truly understand or care what the person does,
               | let alone who they are.
               | 
               | Google and Twitter and two very recent large companies
               | that have done just that.
        
         | tabbott wrote:
         | I don't think that'd be accurate - YC is exiting the business
         | of late-stage investing, and that's the main news. It sounds
         | like they had 17 people who were working on that part of the
         | company who they laid off as part of this transition, but given
         | the major role that YC Continuity played, it's significant news
         | that they're no longer doing that.
        
       | fnordpiglet wrote:
       | Sorry to everyone who lost their jobs. It can feel like the end
       | of the world and your worth. But I've seen throughout my career
       | people land somewhere better. Someone once wise told me the most
       | important saying in the world is "this too shall pass," which
       | applies to all things, good and bad.
        
         | TedDoesntTalk wrote:
         | "Everything that arises passes away."
        
           | riffic wrote:
           | no one died here sheesh
        
             | honkler wrote:
             | 17 jobs died
        
               | riffic wrote:
               | you'd be speaking about livelihoods then, not lives.
        
               | ccn0p wrote:
               | <checks URL>
               | 
               | not reddit!
        
           | layer8 wrote:
           | Like clouds in the sky.
        
         | gordon_freeman wrote:
         | Also wanted to add: never forget that "the law of averages" is
         | our friend when this happens. It ensures that there is always a
         | good chance to lend somewhere if one keeps trying (submitting
         | applications and giving interviews).
        
         | whitemary wrote:
         | [flagged]
        
           | gus_massa wrote:
           | I _had_ to search it and found this:  " _Soviet Union
           | (93,548) > Employment security, termination of employment
           | (955)_" https://www.ilo.org/dyn/natlex/natlex4.detail?p_lang=
           | en&p_is...
           | 
           | > _A dismissed worker shall receive a severance indemnity
           | equal to the average monthly wage._
           | 
           | [...]
           | 
           | > _In case of restructuring or liquidation of the enterprise,
           | the worker while seeking employment, retains his or her
           | average monthly wage for up to three months, taking into
           | account the severance indemnity._
        
             | whitemary wrote:
             | What does it say about families losing their sustenance? I
             | am intentional in my phrasing. I care about people, not
             | "jobs".
        
               | slt2021 wrote:
               | It shows that you have never lived in soviet union and
               | happily eat communist fairy tales.
               | 
               | Soviet Workers were exploited and underpaid by state,
               | there was no private property and almost no private
               | sector.
               | 
               | Soviet Union employed highly educated PhD rocket
               | scientists and paid everyone minimum wage, because there
               | was no alternative.
               | 
               | Literally every scientist family had to grow their own
               | potatoes and veggies at home/dachas in order to survive.
               | 
               | Can you imagine Harvard dean growing potatoes just to
               | survive in cold winter months?
               | 
               | Cars were not available, you had to wait for 7 years to
               | be allocated a slot to purchase a vehicle.
               | 
               | Almost no selection of consumer products, everything was
               | DIY, because the only good thing Soviet State was capable
               | of - is building tanks and rockets (that are currently
               | being destroyed by Ukraine Armed Forces)
        
               | whitemary wrote:
               | My parents both grew up in the Soviet Union. Of course
               | there was private property haha. Individuals, mostly
               | farmers, could even own land!
               | 
               | Your comment is a laundry list of fun talking points, but
               | I couldn't care less. This debate concerns families
               | having reliable material sustenance.
        
               | slt2021 wrote:
               | you should move back to soviet union if you like it so
               | much. Get a real taste of communism.
               | 
               | "Capitalist West is bad, communism good" (C)
        
           | UncleOxidant wrote:
           | I worked with a guy who came up as an engineer in the Soviet
           | Union. Back around 2014 he was laid off from a US tech
           | company that had moved him over from Russia. He couldn't wrap
           | his head around it. Said that in the Soviet Union there was
           | no such thing as a layoff. If they needed to shut down some
           | program they'd move you to another one. The whole layoff was
           | just extremely disorienting for him - especially since the
           | company had moved him over here only a few years prior.
        
             | slt2021 wrote:
             | highly educated engineers were paid like 100 rubles/mo,
             | which is slightly above minimum wage.
             | 
             | Why lay off people, when state can afford to keep them on
             | minimum wage? and reap the benefit of their work (rockets,
             | weapons, tanks, nukes, etc)
        
           | fnordpiglet wrote:
           | That's true. They gave the platitudes as millions starved
           | while Stalin exported food and established the gulags and lay
           | waste to civil society. Yay!
           | 
           | The religion bit is really off kilter, unless you think the
           | impermanence of all things is merely a religious idea and not
           | a fundamental aspect of all reality. After all impermanence
           | didn't apply in Soviet Russia? Oh yeah, it too passed. Guess
           | not.
        
             | whitemary wrote:
             | All modern societies implement brutal exercises in
             | primitive accumulation. Capitalist nations just exported
             | their brutality to the 3rd world. Was that noble of them?
             | I'm not seeing your point. (See: https://en.m.wikipedia.org
             | /wiki/Primitive_accumulation_of_ca...)
             | 
             | "Impermanence" is not a religious concept, but the vagaries
             | in these platitudes are. Nobody in a capitalist society can
             | rationalize layoffs. The best we can do is rationalize not
             | thinking about them, which is the purpose actually served
             | by the platitudes. Religion does the same.
             | 
             | An actually scientific perspective would be far more useful
             | and actionable. There is a good book on this topic: https:/
             | /www.marxists.org/archive/marx/works/download/Engels_...
        
           | tick_tock_tick wrote:
           | Well since by and large you weren't allowed to not work in
           | the Soviet Union being "laid off" normally meant you were
           | being shipped off to a labor camp or being executed.
           | 
           | Lets not pretend they didn't have millions in the gulags....
        
             | ModernMech wrote:
             | Unless you're rich, you're not allowed to not work in
             | America either. Go ahead and try, you won't last long. Even
             | social support programs come with work requirements in some
             | places [1].
             | 
             | Let's not pretend America doesn't currently imprison over
             | two million people [2]. That's where you end up if you're
             | poor and unlucky enough in America (being homeless is also
             | criminalized in many places [3]).
             | 
             | [1] https://www.urban.org/policy-centers/health-policy-
             | center/pr...
             | 
             | [2] https://www.prisonstudies.org/country/united-states-
             | america
             | 
             | [3] https://www.forbes.com/sites/forbeseq/2022/01/01/how-
             | the-us-...
        
           | CyberDildonics wrote:
           | You realize they can get a different job right?
        
             | whitemary wrote:
             | The question is whether all families can sustain healthy
             | and dignified livelihoods. And the answer is in fact they
             | cannot.
             | 
             | By definition, a capitalist economy has a hard dependency
             | on labor surplus. Remember when the Federal Reserve
             | literally said they were raising interest rates to increase
             | unemployment? That's why.
        
               | fnordpiglet wrote:
               | They couldn't in Soviet Russia either. I also don't
               | consider livelihood synonymous with dignity. If you're
               | going to advocate, I'd fall on the UBI side before I fall
               | on the "meaningless command economy labor for the sake of
               | laboring"
        
           | slt2021 wrote:
           | Have you actually ever lived in Soviet Union? or just read
           | Lenin's books?
        
           | aketchum wrote:
           | where did this come from? The person you are responding to
           | didn't say anything about Soviet workers. Also, having
           | recently visited Cuba, while workers in a Communist society
           | may not worry about layoffs, they still need second jobs in
           | the black market to earn a living wage. I'm far from an
           | expert in the Soviet Union but it seems crazy to use this as
           | an excuse to shill the USSR
        
             | UncleOxidant wrote:
             | Heard a story on NPR about someone who recently went home
             | to Cuba from Spain. Said that in the past people in Cuba
             | would ask him to bring electronics (stuff they couldn't get
             | in Cuba), but this time when he asked family back in Cuba
             | what they wanted him to bring they said "Food". When he got
             | there he picked up a hitch hiker on the drive from Havana
             | to his home town (in the past this was very common and very
             | safe). The woman advised him that really shouldn't pick up
             | hitch hikers because they tend to rob you. She was a
             | healthcare professional of some sort and said she had to do
             | several side jobs just to survive.
        
       | robomartin wrote:
       | Just so that it is clear: How does YC define "late stage"?
       | 
       | I ask because the opening line is: "YC is known primarily as a
       | place where very early founders create something from nothing"
       | 
       | Does this mean that, going forward, startups that start with
       | something need not apply? For example, a product and, say, one or
       | many customers? Some revenue?
       | 
       | Or does YC want to focus on the "something from nothing"
       | category?
        
         | cm2012 wrote:
         | Late stage means series B+ usually
        
       | cheeze wrote:
       | Weak wording the same as every other company
       | 
       | > Unfortunately, this means we will no longer need some of the
       | roles
       | 
       | > Seventeen of our teammates are impacted
        
         | [deleted]
        
         | everybodyknows wrote:
         | Is "impacted" the euphemism of the 2020's? In the past I've
         | seen "affected", but maybe that's passe now. So hard to keep up
         | with all the progress in our language ...
        
           | layer8 wrote:
           | I mean, aren't founders always touting that they want to have
           | an impact in the world? ;)
        
       | epicureanideal wrote:
       | I'm surprised that even an innovative, creative organization like
       | YC wasn't able to create other positions for these folks. I guess
       | that just shows how hard business is even for people who are good
       | at it.
        
         | Tade0 wrote:
         | When I saw the March "Who is hiring?" I couldn't help but think
         | "truly, who is?".
         | 
         | My friend is on the lookout for a new role and his experience
         | so far is that it's mostly CV hoarders who approach him on
         | LinkedIn. One case we all but confirmed because I used to work
         | for the company which was supposedly hiring, but I asked a
         | person from there and nope, not very actively, no.
        
         | devmor wrote:
         | Creating a position for employees that aren't needed is
         | generally not a business priority.
         | 
         | Besides, it's likely that this is primarily a cost-cutting
         | measure given similar industry trends at the moment.
        
           | epicureanideal wrote:
           | > Creating a position for employees that aren't needed is
           | generally not a business priority.
           | 
           | Sure, I guess I was using too much of a shorthand in my
           | comment. What I meant was, I'm surprised a company with such
           | a high talent density didn't generate enough new business
           | quickly enough to be able to anticipate near future needs for
           | these folks so that it would make sense to keep them.
           | 
           | I would think YC would have a lot of opportunities to deploy
           | capital, and so a lot of opportunities to gain value from a
           | variety of employee types.
           | 
           | If I knew more about the internals of YC I might be able to
           | make more specific suggestions.
           | 
           | By the way, any company out there, I'd be willing to
           | brainstorm (for free) about how you can repurpose and keep
           | your people, or find other creative solutions. I'll check for
           | replies to this comment later today and tomorrow, and maybe
           | I'll edit it to add a throwaway or alternate email shortly.
           | 
           | Email: jmorrow977 at gmail. I'll check tonight and daily for
           | the next couple days or week.
        
           | jll29 wrote:
           | > Creating a position for employees that aren't needed is
           | generally not a business priority.
           | 
           | You are describing the status quo quite correctly.
           | 
           | That is probably consistent with the textbook form of
           | capitalism.
           | 
           | However, it does not HAVE to be this way. If you have smart,
           | well-educated, experienced staff in roles that are no longer
           | needed, how about thinking hard about how you might deploy
           | them in new beneficial ways? The result could be increased
           | loyalty and a new line of business, a social (yet still
           | profitable) venture. Does anyone have examples?
        
           | barbariangrunge wrote:
           | Many Japanese companies have worked hard over the last
           | several decades to find new positions for people who would
           | have been laid off. The result: they dominate a lot of
           | international industries in manufacturing and certain kinds
           | of high tech
           | 
           | Eg, I'm buying a Japanese car this week because I don't like
           | the reliability of most North American brands
           | 
           | > Toyota continues tradition of a 'No-Layoff' policy for its
           | full-time workers
           | 
           | https://ilssi.org/toyota-continues-tradition-of-a-no-
           | layoff-...
        
       | [deleted]
        
       | opportune wrote:
       | What does this mean for the MFN SAFE terms that YC founders
       | receive in the standard deal?
       | 
       | Does that change if YC doesn't plan to make as many late stage
       | investments?
        
       | halfmatthalfcat wrote:
       | PG and crew have been very proud of the way they've been able to
       | scale YC. This seems to be one of the first times where YC has
       | failed to scale?
        
         | tylermenezes wrote:
         | There have been plenty of scaling problems (my batch, S12, has
         | been publicly referred to a few times as "the batch that broke
         | YC" for example).
         | 
         | Scaling is an iterative process :)
        
         | tempsy wrote:
         | I'm not sure why YC is an example of something that has scaled
         | well. There's so many companies now in each batch with 95%+
         | never amounting to much success. It's not clear how the scale
         | is helping anyone.
        
           | garry wrote:
           | I will say that large % of the batches turn out to still be
           | good companies later, sometimes much later. The journey of
           | being a founder sets people up to do a lot more: YC alums are
           | often great C-level executives at other fast growing
           | startups, and/or just because their first startup doesn't
           | work doesn't mean they don't go on to create great companies
           | later.
           | 
           | The key thing about networks is Metcalfe's law: the power of
           | a network is the square of its nodes. This is also what makes
           | the Internet more and more valuable over time.
           | 
           | Those things together mean scale increases value for
           | founders, and what we've learned is those effects are most
           | potent early.
        
         | pbreit wrote:
         | Or perhaps writing pro rata checks doesn't require that many
         | people?
        
       | dvt wrote:
       | [flagged]
        
         | Zetice wrote:
         | Literally none of the investors in SVB were bailed out, as you
         | cannot bail out a failed bank.
        
           | [deleted]
        
           | [deleted]
        
           | kgwgk wrote:
           | The investors in depositor companies were (indirectly) bailed
           | out (if there is indeed a shortfall).
        
             | Zetice wrote:
             | "indirectly bailed out" is not "bailed out". The US economy
             | as a whole was "bailed out" by not having a cascading
             | effect of bank failures, does that mean _you_ were  "bailed
             | out" too? Are we just devaluing the term entirely?
        
           | dvt wrote:
           | Imagine thinking that billionaires actually bought SVB stock
           | or held cash in there. Protip: their capital is tied up in
           | dozens of companies, which were, indeed, bailed out.
        
             | Zetice wrote:
             | "Their capital" is _vastly_ different from  "them", as it
             | has been given out for others to use, so again no, they
             | were _not_ bailed out.
        
               | dvt wrote:
               | > it has been given out for others to use, so again no,
               | they were not bailed out
               | 
               | Uh, that's what wealthy people _do_ -- they give money to
               | other people to make them even more money. This was so
               | transparently a billionaire bailout (Gary Tan  & David
               | Sacks were _literally_ on a press tour), I fail to
               | understand how people are so mesmerized by the shell game
               | here.
        
               | Zetice wrote:
               | ...that's not what "bailout" means, a "bailout" can only
               | happen before a bank collapses; SVB already collapsed, it
               | _cannot_ be bailed out, definitionally.
               | 
               | It's not a shell game, it's a fundamentally different
               | situation where _real_ people who are _not_ billionaires
               | are directly and immediately effected.
               | 
               | Further, there is not financial assistance in the form of
               | "free money"; at _best_ what will happen are loans to
               | cover the difference between the available liquidity and
               | the withdraws. The assets SVB once had will, upon
               | maturity, pay for those loans with interest, and only
               | _then_ will investors be given a chance to recoup some of
               | their investment.
               | 
               | I'm frankly fascinated by the abject cynicism by way of
               | ignorance people think they can get away with on the
               | Internet. Unreal...
        
       | chernevik wrote:
       | The timing and optics on this are just awful.
        
       | ftxbro wrote:
       | [flagged]
        
         | Kwpolska wrote:
         | That's still too long and flowery.                   You
         | probably know what YC is.              We were recently doing
         | late-stage investing, but we're mostly giving up on that now.
         | We're firing 17 people who were involved in late-stage
         | investing.              You won't notice their disappearance.
         | 
         | There, four sentences, and no AI involved.
        
           | mhb wrote:
           | Even just excising the godawful "impacted" is a massive
           | improvement.
        
           | [deleted]
        
           | ftxbro wrote:
           | Oh they flagged my post. Does that mean no one can see it
           | anymore? Anyway I was curious how GPT expands your four
           | brutally raw sentences into a press release (everything it
           | made is fake including a fake quote):
           | 
           | Y Combinator Announces Changes in Late-Stage Investing and
           | Workforce
           | 
           | Mountain View, CA - Y Combinator, the renowned startup
           | accelerator, announced today that it will be shifting its
           | focus away from late-stage investing. As part of this
           | strategic pivot, the company will be letting go of 17
           | employees who were involved in late-stage investing.
           | 
           | This decision comes after a thorough review of YC's
           | investment strategy and long-term goals. While late-stage
           | investing has been a successful part of the company's
           | portfolio, YC has decided to double down on its core mission
           | of helping early-stage startups grow and succeed.
           | 
           | "We are grateful for the contributions of our late-stage
           | investing team, but we believe that this change will allow us
           | to better serve our early-stage companies and continue to
           | drive innovation in the startup ecosystem," said YC
           | President, Sam Altman.
           | 
           | The 17 affected employees have been notified and will be
           | provided with severance packages and support during their
           | transition. YC remains committed to its mission of supporting
           | and investing in the most promising startups and looks
           | forward to continuing to work with entrepreneurs from all
           | over the world.
           | 
           | For more information, please contact Y Combinator's media
           | relations team at press@ycombinator.com.
           | 
           | ###
        
       | beavis000 wrote:
       | Here's a question: Whose capital does YC invest? Only partner
       | capital? Do they have outside investors?
        
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