Yesterday, Yahoo CEO Scott Thompson began explaining to employees why, for years, his public bio said he had a degree in computer science when in fact he does not.
He said that he hasn't used a resume in years, and that the false information probably got on his bio after he gave an interview to an executive placement firm.
The board of directors is still deciding whether or not to can Thompson for...
Yahoos Respond To CEO's Explanation: "We've All Lost Trust In Him. Period." (YHOO)
Yesterday, Yahoo CEO Scott Thompson began explaining to employees why, for years, his public bio said he had a degree in computer science when in fact he does not.
He said that he hasn't used a resume in years, and that the false information probably got on his bio after he gave an interview to an executive placement firm.
The board of directors is still deciding whether or not to can Thompson for this transgression.
One factor will be how employees are reacting to Thompson's explanation: Will they allow him to continue to be their leader?
From the employees we've talked to, the answer seems to be "no."
"Not even for half-a-second," says one employee.
"His explanation has so many holes in it, he could use it as a sieve. The "out of deference to the reporter" part is the most laughable one of all -- if you listen to the audio of the interview, he doesn't even *attempt* to change the topic, but rather goes on lying. I think the poll for your latest post on SAI speaks for itself -- 77% say he's lying and should be fired... I wouldn't be surprised if some very senior people at Yahoo voted in on this."
Another employee says that Yahoos even had a sort of informal vote about Thompson, and he did not do well.
"When they posted his apology letter on our internal employee site, 2 employees commented on it publicly that he needs to go and there are a LOT more thumbs up, than thumbs down on the comments."
"We've lost all trust in him. Period. No excuse will be good enough."
One sentiment we've heard over and over is that Yahoos believe if they were to would be fired for an inaccurate degree on their resumes, then so should he."
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The CEO of Heidrick & Struggles has denied a claim by Yahoo CEO Scott Thompson that the executive-search firm is at fault for a bio with incorrect information about Thompson's college degree, reports Kara Swisher at AllThingsD.
Already, most Yahoos we've heard from say they don't believe Thompson's story about how his bio came to have false information. Turns out a lot...
BOMBSHELL: Yahoo CEO's Excuse Is "Verifiably Not True"
The CEO of Heidrick & Struggles has denied a claim by Yahoo CEO Scott Thompson that the executive-search firm is at fault for a bio with incorrect information about Thompson's college degree, reports Kara Swisher at AllThingsD.
Already, most Yahoos we've heard from say they don't believe Thompson's story about how his bio came to have false information. Turns out a lot of smart people work at Yahoo!
Thompson's explanation: When Heidrick & Struggles helped get him a job as CTO of eBay's PayPal division, a junior staffer interviewed him and wrote a summary that claimed Thompson had a degree in computer science. (He doesn't.)
Not true, said Heidrick & Struggles CEO Kevin Kelly in an email to his staff that Swisher obtained.
And he's ratted Thompson out to Yahoo, which is investigating Thompson over the matter.
"... if recent media reports are accurate, the CEO of Yahoo! has made potentially damaging allegations about our firm that are simply not true and cannot be allowed to stand in the public record. The media articles in question have indicated that the Yahoo! CEO told members of his senior staff that, many years ago, a junior member of our firm invented an academic credential for him in the course of preparing standard profile materials. Based on information in our possession, this allegation is verifiably not true and we have notified Yahoo! to that effect." [Emphasis added.]
eBay CEO John Donahoe, Thompson's former boss, appears to be pinning the blame on eBay's PR department, suggesting that they missed the error in Thompson's résumé while their colleagues in eBay legal caught it—yet didn't bother to tell anyone.
That explanation makes about as much sense as the "junior staffer" excuse.
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For years, Yahoo Scott Thompson's public bio said he had a degree in computer science which he does not actually have.
Thompson is telling Yahoo employees this false information got into his bio thanks to a document put together by an executive placement firm that interviewed him for a job at eBay (which he eventually got).
He is saying he never reviewed that document, or any of the public bios us...
Do You Buy Yahoo CEO Scott Thompson's Explanation For His False Bio? (YHOO)
For years, Yahoo Scott Thompson's public bio said he had a degree in computer science which he does not actually have.
Thompson is telling Yahoo employees this false information got into his bio thanks to a document put together by an executive placement firm that interviewed him for a job at eBay (which he eventually got).
He is saying he never reviewed that document, or any of the public bios used for his seat on other boards, speaking appearences, or at Yahoo.
In 2009, Thompson discussed with a radio interviewer what he learned getting a CS degree – without technically saying he had a CS degree. He is saying he did not correct the interviewer who asked him about his degree because he did not want to be rude.
So, what's your verdict? Take the poll below (and if you're a Yahoo employee, email nicholas@businessinsider.com)
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Even though he got fired for mishandling a scandal about his academic credentials, Scott Thompson got paid handsomely for his four-month stint as Yahoo's CEO, an SEC filing shows.
As we reported last week, Thompson had already earned a $7 million bonus—$1.5 million in cash and $5.5 million in restricted stock—just by sticking around for a couple of months.
He negotiated those amounts w...
Scott Thompson Walks With $7 Million, But No Severance (YHOO)
Even though he got fired for mishandling a scandal about his academic credentials, Scott Thompson got paid handsomely for his four-month stint as Yahoo's CEO, an SEC filing shows.
As we reported last week, Thompson had already earned a $7 million bonus—$1.5 million in cash and $5.5 million in restricted stock—just by sticking around for a couple of months.
He negotiated those amounts when he signed on as a "make-whole" bonus to compensate him for cash and stock awards he left behind when he joined Yahoo from eBay's PayPal subsidiary.
Earlier today, CNNMoney reported that Thompson's contract might require him to repay those amounts if he voluntarily resigned.
But that's a moot point, since Thompson and Yahoo negotiated a separation agreement which explicitly allows him to keep those bonuses, while waiving claims to any other severance.
Executive-compensation expert Chris Crawford, COO of Longnecker & Associates, told Business Insider last week that it would be tough for Yahoo to claw back bonuses it had already paid. Such clawbacks are a new and contested area of employment law.
And it's smart for Yahoo to clear the decks for interim CEO Ross Levinsohn to continue the company's turnaround, rather than have the drama of a fight over the terms of Thompson's departure.
And Thompson can grapple with his own issues—like his recent diagnosis of thyroid cancer.
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Without actually naming the firm, Yahoo CEO Scott Thompson is pinning his entire bio scandal on Silicon Valley's top recruiting outfit, Heidrick & Struggles.
According to our report yesterday, Thompson is telling Yahoo employees that the only reason his bio falsely said – for years! – that he had a computer science degree is that a recruiter interviewed him and put the false inform...
Yahoo's CEO Just Threw The Valley's Top Recruiting Firm Under A Bus With A Seriously Damning Accusation (YHOO)
Without actually naming the firm, Yahoo CEO Scott Thompson is pinning his entire bio scandal on Silicon Valley's top recruiting outfit, Heidrick & Struggles.
According to our report yesterday, Thompson is telling Yahoo employees that the only reason his bio falsely said – for years! – that he had a computer science degree is that a recruiter interviewed him and put the false information in a document and passed it to eBay.
He says eBay hired him and used the document to write his public bio.
Thompson is not telling employees the name of this firm – he's too polite and diplomatic to do that – but prior reporting tells us it was top Valley recruiting firm Heidrick & Struggles that placed him at eBay.
Mostly, Thompson is just trying to say he was not the one who introduced false information.
But the fact is, Thompson's explanation amounts to a pretty damning accusation against H&S.
If he's telling the truth, their screw-up has cost one Yahoo board member her seat already, wasted a week or so of turnaround time at Yahoo, put the company in an awful position in its proxy fight with an angry shareholder, and might just cost Thompson his job.
The scandal might cost H&S some business. If only because Yahoo is one of its top clients.
We've reached out to H&S for a response, but neither of their PR people have gotten back to us yet.
If they'd like to reach us, our email remains nicholas@businessinsider.com. Yahoo employees should also feel free to reach out and tell us how Thompson's explanation is playing in Sunnyvale.
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Now that Scott Thompson's been forced out as Yahoo's CEO for claiming a computer-science degree he never earned, what will his defenders say?
We're thinking specifically of eBay CEO John Donahoe, who declared himself "Scott's biggest fan" last week and expressed hopes that Thompson would keep his job and keep turning Yahoo around.
Donahoe also told reporters that Thompson's biography was...
Scott Thompson's 'Biggest Fan' Has Some Explaining To Do (YHOO, EBAY)
Now that Scott Thompson's been forced out as Yahoo's CEO for claiming a computer-science degree he never earned, what will his defenders say?
We're thinking specifically of eBay CEO John Donahoe, who declared himself "Scott's biggest fan" last week and expressed hopes that Thompson would keep his job and keep turning Yahoo around.
Donahoe also told reporters that Thompson's biography was correct in legal filings but not in public-relations materials—including, for example, a page we found still live on eBay's Singapore site last week.
Someone at eBay had to know about the error on Thompson's bio going back years.
Was the fake degree possibly kept quiet because eBayers were aware that Donahoe was, as he put it, Thompson's "biggest fan"? Or because it suited eBay's purposes at the time?
Also, how did eBay hire a senior executive who apparently submitted a false résumé to the executive-search firm that placed him?
It's not enough for eBay to declare its hands clean and move on. It owes investors and other stakeholders a full explanation of its role, from Donahoe on down, in the Thompson matter.
We asked eBay spokesman John Pluhowski for comment on Thompson's departure and eBay's investigation of his bio. We haven't heard back yet but we'll update this story if we do.
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It's a great morning – unless you are Silicon Valley's top recruiting firm, that is.Yahoo CEO Scott Thompson says his entire resume scandal is a recruiting firm's fault.
If that's true, it's bad news for Heidrick & Struggles, said recruiting firm.
Yahoo's top shareholder may vote to throw out the current regime either way.
Facebook needs to make more money. One way it's trying: letting u...
10 Things You Need To Know This Morning (YHOO, MSFT, GOOG)
It's a great morning – unless you are Silicon Valley's top recruiting firm, that is.
Yahoo CEO Scott Thompson says his entire resume scandal is a recruiting firm's fault.
If that's true, it's bad news for Heidrick & Struggles, said recruiting firm.
Yahoo's top shareholder may vote to throw out the current regime either way.
Facebook needs to make more money. One way it's trying: letting users pay to make sure their friends see their posts.
One report says Facebook's IPO is weak. Another says its oversubscribed. Don't believe either.
Ouch: this kid turned down a job at $1 billion Instagram.
There is a new Bing and it is as social as a soriority sister.
If the new Bing is any good, it's probably thanks to Mark Zuckerberg.
Also thanks to Microsoft, you will soon be able to browse the Internet with your arms and legs.
If you haven't seen photos of this bizarre sea monster, you aren't paying close enough attention to bizarre sea monsters.
Stay with SAI all day for LOTS of things you need to know.
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When Yahoo CEO Scott Thompson was revealed to have a Computer Science degree on his bio that he hadn't actually earned, many people quickly assumed he was a liar.
And when Thompson's PR minions at Yahoo ludicrously tried to dismiss the fake degree as an "inadvertent error" and then a whole week went by with no explanation from Thompson, more people assumed he was a liar.
And then, a week later, wh...
OCCAM'S RAZOR IN THE STOCK MARKET: The Most Likely Explanation Of Yahoo CEO's Fake Degree Looks Like The Right One...
When Yahoo CEO Scott Thompson was revealed to have a Computer Science degree on his bio that he hadn't actually earned, many people quickly assumed he was a liar.
And when Thompson's PR minions at Yahoo ludicrously tried to dismiss the fake degree as an "inadvertent error" and then a whole week went by with no explanation from Thompson, more people assumed he was a liar.
And then, a week later, when Thompson finally produced an explanation--it was a headhunter's fault!--that the headhunter immediately revealed to be bogus, everyone concluded he was a liar.
So, while it's fair and nice to give people the benefit of the doubt, it's also good to know that, in corporate communications, "Occam's Razor" still applies:
The most likely explanation is generally the right one.
SEE ALSO: This Is The Best Thing That Has Happened To Yahoo In Years
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Yahoo CEO Scott Thompson is telling employees the reason his bio said he had a computer science degree when he does not have one is that several years ago, a recruiter interviewed him for a job and then passed a document saying he had the degree to his potential employer.
He says that employer, PayPal/eBay, used that document to write his public bio and that the information spread like a disease f...
TOP HEADHUNTER: Yahoo CEO's Excuse Is 'Absolutely Plausible' (YHOO)
Yahoo CEO Scott Thompson is telling employees the reason his bio said he had a computer science degree when he does not have one is that several years ago, a recruiter interviewed him for a job and then passed a document saying he had the degree to his potential employer.
He says that employer, PayPal/eBay, used that document to write his public bio and that the information spread like a disease from there.
Michael Travis, listed by BusinessWeek as one of the “World’s Most Influential Headhunters," says Thompson's story is totally plausible.
"Many search firms do not present the candidate’s actual resume to the client. Instead, they restate the candidate’s background in the context of a longer report. It makes for a pretty, well-formatted document, but it also introduces all kinds of potential problems."
"First, anyone can make an innocent mistake, and the search firm can get the facts wrong. Perhaps that’s what happened here. Candidates never see the reports prepared on them by search firms and would never have an opportunity to correct any errors." "Or it might be something more nefarious. Restating the candidate’s resume tempts the search firm to massage the candidate’s background to fit the client’s specification. It's not ethical, but it happens."
Travis says his firm, Travis & Company, requires candidates to present their potential employers with a resume.
"There’s a lot to be learned from a candidate’s resume, and hiding it from the client deprives them of useful information. Can the candidate write? What do his choices about what to include say about his mindset and what he thinks is important? Then there's the potential for disasters like this one. Clients need to see the original document."
One problem with Thompson's story is that he had plenty of chances to correct his bio – including the time when a radio interviewer specifically asked him about his CS degree.
So…Do You Buy It? Vote Here.
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After spending a few weeks getting the lay of the land, new Yahoo CEO Scott Thompson is starting to make some moves.
He's upsetting people in the process.
A pair of sources close to the company say Thompson spent a long time meeting with Yahoo's product teams last week. During the meetings, says one source, Thompson "trashed" the efforts of the product team. This source says Yahoo product bos...
Yahoo's New CEO 'Trashed' Yahoo's Product Team Last Week, Plans Big Changes (YHOO)
After spending a few weeks getting the lay of the land, new Yahoo CEO Scott Thompson is starting to make some moves.
He's upsetting people in the process.
A pair of sources close to the company say Thompson spent a long time meeting with Yahoo's product teams last week. During the meetings, says one source, Thompson "trashed" the efforts of the product team. This source says Yahoo product boss Blake Irving left the meeting "pretty down."
This morning, AllThingsD's Kara Swisher had some color on the meeting: "Thompson reportedly quizzed the group on its plans, and pressed it to look less at short-term features and maintenance than on finding the next great thing."
She also says the product team is going to have a re-org. Mark Morissey will head monetization. Jay Rossiter will run "platform," and Sashi Seth will do consumer-facing products.
One Yahoo source says the company is in "chaos."
"Scott is in a bunker, spending a lot of time listening to [board member] David Kenny. The whole company seems uninspired right now. The word going around that best describes Scott is "megalomaniac."
Another Yahoo we spoke to says that people at the company expect big, sometimes painful changes from Thompson, and that's OK and even wanted. But this person says Thompson has to make his big move quickly and in one go; he has to rip the bandage off.
This person says that from a revenue, brand, and employee retention standpoint, Yahoo cannot afford to have months of changes. Endless, on-going adjustments to the organization – its mission, budgets, and products – will "crush the place."
We'd like to hear from more Yahoos, who can email nicholas@businessinsider.com or call 646 376 6014.
Please follow SAI on Twitter and Facebook.Join the conversation about this story »See Also:Yahoo Could Pose A Problem For Facebook If It Tries To Enforce Its 1,000+ PatentsCHART OF THE DAY: Hate To Be Rude, But Facebook Is Not The Next Google. It's Not Even CloseThe Most Depressing Thing You'll Read About Yahoo…Today
