Layoffs and CEO Resignation At OSDL

lisah writes "Big changes are afoot at Open Source Development Labs (OSDL) with today's surprise announcement of the departure of CEO Stuart Cohen and the layoff of nine other employees. Details are still emerging about what exactly this means for OSDL but according to a preliminary announcement, Cohen is 'leaving to pursue other open source opportunities' and OSDL is 'refocusing the scope of [their] work to better align resources with [their] revenues...'" The article also mentions the last year's layoff at OSDL.

Comments

Re:Non-profit still has to pay the bills

[DerekLyons]

I've never understood how this is non-profit.

At the end of the financial year, there is no profit to be paid out to the owners. It all goes back into the company.

True
 
 

Realistically, in this case, you're right... a lot of it goes to salaries. Although, you can't claim to be a "non-profit" company, and pay the CEO a kajillion dollars.

False. There are no limits to the salaries than can be paid to the employees of a non-profit. (Being the CEO or Chairman of a large charity can be quite lucrative.)
 
 

Once you're a non-profit, then the IRS watches closely to make sure that people are paid reasonable amounts.

False. The IRS doesn't scrutinize the return of any single non-profit than do any single individual or business.
 
 

You can't use it as a tax loophole (otherwise, every company on the planet would be a "non-profit") company.

Partly correct - non profits are chartered, and must operate within that charter. Theu can't be chartered unless they are a (generally speaking) charitable, social (fraternal), or educational organization.