Groupon Inc (NASDAQ:GRPN) is beginning to get a little touchy regarding their employees leaving the company to join competitors. One of their attorneys mailed a letter last month to the company’s top competitor, Top Hat, claiming that they were improperly recruiting Groupon employees.
Top Hat employs 25 sales people, 8 of which are former Groupon omployees. Mike Silagadze, Top Hat’s chief executive says that Groupon Inc (NASDAQ:GRPN)’s “turnover is getting even worse, when their top people are starting to leave”. As the employees continue to seek other positions, Saligadze says he will continue to hire them.
Groupon has been suffering for a while now, and investors are growing more and more anxious regarding their shares. The stocks have continuously tanked in the market, losing value like a punctured artery loses blood. The company’s IPO introduced the stock at $20 per share in November of last year, and today the stock is worth less than $8 per share. This investment has proved to be a major downer for the investors, and Groupon’s top executives are beginning to feel the heat.
A look at Groupon’s performance, since their IPO, less than a year ago, is far from encouraging. The software provider has showed continuing losses, and their employees have begun abandoning ship. Many of their workers can see that if something radical doesn’t happen, the company will fold, and they do not wish to be there when that happens. This has prompted many of them to begin finding positions elsewhere, which opens up great opportunities for companies like Top Hat to snap up extremely skilled workers, who are desperate for job security.
At the time of this writing Groupon Inc (NASDAQ:GRPN)’s shares are up 3.56% to $7.70, but it offers little hope to investors that they will ever get a return on their ‘invesment’ in the company. Readers who had heeded our warnings would have saved a lot of money.