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2016

A Yelp employee publicly complained to the CEO that she couldn't afford to buy groceries — hours later, she was fired

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REUTERS/Jim Young

Late Friday afternoon, Yelp customer-service agent Talia Jane  published a Medium blog post called "Dear Jeremy" — an open letter to Yelp CEO Jeremy Stoppelman claiming that some of his employees just can't make ends meet.

"Every single one of my coworkers is struggling. They’re taking side jobs, they’re living at home. One of them started a GoFundMe because she couldn’t pay her rent," Talia Jane wrote. "Another guy who got hired, and ultimately let go, was undoubtedly homeless."

("Talia Jane" isn't her full name, but she asked not to be identified.) 

Talia Jane's lengthy Medium post paints a grim picture of San Francisco-based Yelp, the Yelp Eat24 food-ordering subsidiary at which she officially worked, and of being a low-paid worker in the extremely expensive San Francisco Bay Area. 

About two hours after posting her essay, Talia Jane took to her Twitter account to announce that she had been fired from Yelp.

She says there was no warning, just a disconnected email account and, later, a call from HR to discuss severance, indicating that her public story may have led to her termination. But of course, other factors outside of the post may also have been at play and led to the decision.

Yelp is a publicly traded company with a $1.38 billion market cap. It bought Eat24 in early 2015 for $124 million. Earlier in February, Yelp's chief financial officer stepped down, even as the company's stock continues a downward trend after posting disappointing quarterly results. 

$8.15 an hour after taxes

Of her wages, Talia Jane writes:

"I got paid yesterday ($733.24, bi-weekly) but I have to save as much of that as possible to pay my rent ($1245) for my apartment that’s 40 miles away from work because it was the cheapest place I could find that had access to the train, which costs me $5.65 one way to get to work. That’s $11.30 a day, by the way. I make $8.15 an hour after taxes."

Minimum wage in San Francisco is $12.25 an hour. By 2018 it will be $15 an hour.

Talia Jane's post also includes an account of how she once found herself stranded outside of San Francisco without the cash to pay a toll to get to work. She says her manager suggested, "with full concern and sympathy for my situation," that she go through the FastTrack lane and incur a $35 ticket that she could pay back later.

Here are some more standout lines:

  • "I haven’t bought groceries since I started this job. Not because I’m lazy, but because I got this ten pound bag of rice before I moved here and my meals at home (including the one I’m having as I write this) consist, by and large, of that. Because I can’t afford to buy groceries."
  • "Bread is a luxury to me, even though you’ve got a whole fridge full of it on the 8th floor. But we’re not allowed to take any of that home because it’s for at-work eating. Of which I do a lot. Because 80 percent of my income goes to paying my rent. Isn’t that ironic?" 
  • "[Do] you know what the average retention rate of your lowest employees (like myself) are? Because I haven’t been here very long, but it seems like every week the faces change."

Since posting about her termination on Twitter, Talia Jane has seen an outpouring of support, including donations to her personal PayPal account. She also works as a freelance writer.

Meanwhile, Talia Jane's Twitter handle has become a trending topic in San Francisco — apparently, her plight has struck a nerve in San Francisco, where income inequality is a very real and present issue.

Talia Jane tells Business Insider:

I brought up the wages in every quarterly meeting I had with my managers. They were well aware that I was struggling despite doing what I could with what I had. The last straw was when I woke up yesterday two hours after going to sleep because my stomach hurt from hunger. And it's something I'm used to, but this time it was really driving me to put something in my stomach immediately - I couldn't wait 15 minutes for my rice to cook and it all became very clear that this shouldn't be an issue I was dealing with to the point where I forgot it wasn't normal.

And on whether or not this turned her off from working for a tech company at all, Talia Jane says "No, as long as the pay is fair and how employee needs are handled are realistic to the area's cost of living, I could be scooping duck s--- out of the pond outside of Facebook and I wouldn't mind."

Yelp provided this statement to Business Insider:

We do not comment on personnel issues. However, we did agree with many of the points in Ms. Jane's post and we viewed it as her real, personal narrative about what it's like to live in the Bay Area. Most importantly, it's an important example of freedom of speech.
We agree with her comments about the high costs of living in San Francisco, which is why we announced in December that we are expanding our Eat24 customer support team into our Phoenix office where will pay the same wage.

Yelp's CEO, Jeremy Stoppelman, has responded to Talia Jane on Twitter:

Late last night I read Talia's medium contribution and want to acknowledge her point that the cost of living in SF is far too high. I have been focused on this issue, backing anti-NIMBY group SFBARF and speaking out frequently about the need to lower cost of housing. I've not been personally involved in Talia being let go and it was not because she posted a Medium letter directed at me. Two sides to every HR story so Twitter army please put down the pitchforks. The reality of such a high Bay Area cost of living is entry level jobs migrate to where costs of living are lower. Have already announced we are growing EAT24 support in AZ for this reason.

NOW WATCH: KRUGMAN: It's Not Just About Hard Work — Dumb Rich Kids Get All The Breaks






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