Bumble has lost a third of its Texas workforce in the months since the state passed the controversial abortion bill, also known as the Texas Heartbeat Act, over a year ago. This new data point was shared by Bumble's interim general counsel Elizabeth Monteleone, who spoke on a panel at the SXSW conference in Austin, Texas, this afternoon. The panel focused on the “Healthcare Crisis in Post-Law America” and featured women who filed lawsuits and spoke out about the need to involve doctors, not politicians, in health care decisions.
Additionally, Monteleone pointed out that dating app maker Bumble no longer requires its employees to participate in business from its Austin location, even though it is headquartered there.
“We are a remote-first company. We have supported employees who have chosen to relocate out of state,” Monteleone added.
“Since SB 8, the workforce in Texas has decreased by about a third. These employees are choosing to move elsewhere,” she told the event audience. “Texas has a lot of different laws, and I think a lot of people feel that they're in conflict with healthy living and being their authentic selves,” Monteleone added, noting that all withdrawals are linked to this particular It may not be directly tied to the law, but he suggested it could possibly be. As well as several other Texas laws and proposed bills that don't sit well with Bumble's employees.
The dating app maker has become the first company to join a court brief in support of Zulawski v. Texas, a lawsuit brought by the Center for Reproductive Rights against Texas' abortion law. The lawsuit claims the law puts the lives of pregnant women at risk because doctors are unable to provide abortion care for fear of losing their licenses, hefty fines, and even prison time. The women involved in the case are suing the state, saying the state's abortion law forced them to become pregnant despite the risks to their health. Some women had to travel out of state to receive medical care, increasing their health risks. Some people filed lawsuits because they had to carry non-viable pregnancies to term. Several Texas doctors have also signed on to the lawsuit, saying they can no longer properly practice medicine.
Although the SXSW committee primarily focused on the political aspects of this and other laws, including those seeking to restrict access to IVF, and the personal and psychological burden on women, Bumble's lawyers also pointed to the business implications of this type of law. have.
“We know that abortion affects individuals, but it has serious negative consequences for society as a whole, and especially for businesses,” Monteleone said. “We objectively look at it and say in our brief that we are talking about the increased cost of attracting and retaining talent in Texas, the increased cost of providing health care benefits to our employees. … We found that because: Our position was founded from the beginning with women at the forefront, and we were not given that voice and legitimacy in the first place. “So we can combine that with this very business-centric discussion to help support litigation,” she said.
Since the Bumble deal, other companies across Texas, including rivals Match Group and SXSW, have also signed court briefs, raising concerns that some will face similar challenges in attracting and retaining talent. It is said that there is.
“these are, [prospective employees] When thinking about whether to accept a job or whether to keep a job. Location considerations are a very practical factor,” Monteleone said.
Since the law's passage, Bumble has introduced enhanced health benefits, including abortion, in vitro fertilization, surrogacy, egg freezing, and even gender-affirming care, which “claims a full range of reproductive rights.” “It also includes the burden of costs to individuals,'' he said. Other companies offer similar benefits at their own expense.
These issues are even more pressing for companies like Bumble, which is currently struggling to grow and appeals to a younger audience that may be less interested in dating apps than older companies. ing. The dating app maker had a weak fourth quarter with a net loss of $32 million and revenue of $273.6 million. In addition, the company has undergone organizational changes that included a management overhaul, with founder Whitney Wolfe Herd resigning as CEO and former Slack CEO Lydiaan Jones appointed as the new CEO. announced that it would lay off 350 employees.