Peloton's new CEO wants employees to know he views the company as a sports team rather than a family, unlike his predecessor, John Foley.
In an interview with The New York Times' DealBook on Saturday, Peloton's newly appointed CEO Barry McCarthy spelled out the differences between his management style and that of Foley's. McCarthy replaced Foley earlier month after the founder and former chief executive stepped down from the role he had held during the entirety of Peloton's decade-long existence.
"John and I don't always agree," McCarthy said. "He announces to the team at our all-hands ... that we're a family. And I say you'll never hear me say we're a family."
McCarthy continued: "We're a sports team, and we're trying to win the Super Bowl. And so we're going to put the best players on the field we can. And if you go down the field, and we throw you the ball, and you drop it a bunch, we're going to cut you. Because everybody else who's trying hard to win the game deserves to have the best players on the field. And if you're a good player, you're going to love being on this team."
Alongside Foley's departure as CEO, Peloton also announced the layoffs of 2,800 employees, roughly 20% of its corporate workforce. The terminations are part of cost-cutting measures expected to deliver at least $800 million in savings per year as the company faces falling demand for its connected-fitness products.
McCarthy also said in the DealBook interview that Peloton had "spent money on things that they shouldn't have."
"I love John's strengths, but I'm running the company," McCarthy said.
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