WeWork chairman tells employees the plan is to have positive adjusted earnings by 2021

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In a meeting with employees on Friday, WeWork Chairman Marcelo Claure laid out his plans to get the company to profitability.

WeWork's new executive chairman, Marcelo Claure, held an all-hands meeting with employees on Friday and outlined his plans to get the embattled office-sharing company back on track and working towards profitability.

For over an hour, Claure spoke broadly about WeWork's values as well as the company's need to regain trust with both members and the public, CNBC has learned. The meeting followed WeWork'sthat it was laying off 2,400 employees, or about 19% of its total workforce. Claure also shared details about WeWork's strategic plan, which was first presented to the board earlier this week. The company is now aiming to be adjusted EBITDA positive by 2021 and have positive free cash flow by 2023, Claure said. All that means WeWork will have better margins in its core business even if it's still recording net losses., reporting $1.25 billion in losses in the third quarter, a sharp increase from the same period a year earlier.

Claure laid out six areas of importance for WeWork as it moves forward, including focusing on the core office-sharing business, fostering a high-quality member and employee experience, improving its relationships with landlords and brokers, growing and expanding geographically in a smart and profitable way and adding more ways to monetize spaces.

He said the company intends to run the business with an owner mentality, meaning it will focus on financial discipline and establishing clearer goals and greater accountability. Much of the same language was reiterated in WeWork's recentClaure then opened the floor to employees and took questions for about 30 minutes. Notably, Neumann wasn't mentioned once.

 

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By laying them off. Makes you question the IPOs that Wall Street tries to push down our throats. Was a pump and dump at best

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