On the road back to bankruptcy - Marketing Cengage Employee Review

1.0
Aug 19, 2016
Recommend
CEO approval
Business outlook

Pros

Co-workers and the customers. I really enjoyed having the privilege of meeting and working with so many college instructors. They are a passionate bunch who deeply care about education and how they can reach students. It makes me feel good about the future of higher ed in the US to know that there is such a dedicated core of instructors.

Cons

The company has already cut staffing to the bone and is now sawing deep into the marrow. Financial performance of the company has been dismal, which is partly due to over-inflated revenue projections, partly due to softer than expected digital sales and partly due to lower student enrollment overall. The company's investors (who bought the company out of chapter 11 bankruptcy) seem to have lost any desire to grow the company and take it public, and are instead getting their money out of Cengage by bankrupting it. How else do you explain paying out tens of millions of dollars in shareholder dividends and stock repurchases by borrowing money -- which is exactly what the company did last year. You don't have to take my word for any of this -- the financial statements are available on the company's website. This company is losing revenue and increasing their debt load, which is the exact same formula which landed them in bankruptcy court the first time around. Meanwhile, cuts are occurring by canceling bonuses, merit increases and laying off employees in droves. The morale of the company has gone from bad to toxic as execs regularly belittle and bully employees. The new c-level executive has joined the bullies club in the c-suite and rules by fear and intimidation.

Explore other reviews about Cengage

3.0
Jun 4, 2026
Recommend
CEO approval
Business outlook

Pros

Company has some interesting approaches to the market and in the past they seemed value employees. There are some good employees there and there was, in the past, visionary leadership, but the people with the vision and leadership skills left the company a few years ago.

Cons

The company actively de-values employees. They had a project they called "Project Horizon" where they told all employees they needed to cut costs, so the company was going to have multiple layoffs over 3-5 years - but nobody was allowed to know when, where, or why - - just one day large swaths of people would be gone. That hung over everyone's heads - for years, and is indicative of how Cengage values employees - it doesn't. Everything is about trying to secure new funding and prepare for an IPO, so they stopped investing significantly in the products about 3 years ago and that's about when they stopped acting like they cared about employee wellness as well.

9
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