New York human resources startup Namely has fired its founder and CEO Matt Straz following an investigation into actions “inconsistent with that which is expected of Namely leadership,” the company told employees on Tuesday.
In a press release, the company announced that the departure of Matt Straz as the company’s CEO, effective immediately. “The Board of Directors arrived at this decision after determining that his actions were inconsistent with that which is expected of Namely leadership,” the release said.
According to an unnamed source, Namely’s board was made aware of Straz’s alleged conduct late last week.
“We are a company that provides HR solutions, resources and best practices to help clients achieve their workplace goals. We are steadfast in our goal of modeling the best workplace practices, including demonstrating commitment to our values by taking decisive action if or when anyone acts contrary to those values,” wrote Steele. The former CEO of Jive Software will lead an Office of the CEO to guide the company through its search for a replacement for Straz, alongside Namely executives Graham Younger, Dan Murphy and Paul Rogers.
Neither Steele’s letter nor a press release posted on Tuesday afternoon about the move specified what alleged actions by Straz led to his dismissal.
Straz did not respond to an email message or social media messages requesting comment.
Matt Straz founded Namely back in 2012. He’s a weekly contributor to Entrepreneur and writes frequently for several other publications about human resources, startups, and technology. No comment yet from Straz.
Founded in 2012, the New York-based Namely is an all-in-one platform that manages all HR data in one place, with personalized service to help companies get better and faster. Namely give companies the software and support they need to evolve their company cultures It has evolved along with company needs. They handle administration and compliance across HR, payroll, time, and benefits, so HR teams can focus on developing their people and providing a great employee experience. The company has raised over $150 million from investors including Sequoia Capital and Matrix Partners. Its competitors include Zenefits and Workday Inc.
Namely had grown fast to become one of New York’s most promising enterprise software companies in recent years, appearing at No. 67 on the Forbes Cloud 100 list in 2017. A provider of payroll and other HR services via subscription software, Namely focused on medium-sized businesses smaller than those targeted by established public companies such as Workday, and larger than those pursued by other startups like Gusto and Zenefits. The company claims more than 1,000 business customers spanning 175,000 employees, according to its press release.