Blue Origin's owner Jeff Bezos introduces Blue Moon, a new lunar landing platform, during an event at Washington Convention Center on May 9, 2019, in Washington, DC. Getty Images
Jeff Bezos returned to Earth late last month after he flew to space. However, his company has seen a decline in top talent since then. CNBC reports that Blue Origin has lost at least 11 of its top leaders and engineers this summer. Many others have moved on in the weeks following Bezos' return to Earth. Lauren Lyons and Nitin Arora, two of the engineers, announced this week jobs at Firefly Aerospace and SpaceX, respectively. Other engineers quietly updated their LinkedIn profiles over the last few weeks. People familiar with the matter confirmed each unannounced departure to CNBC. These people were: New Shepard senior Vice President Steve Bennett, chief for mission assurance Jeff Ashby (who has retired), New Glenn Senior Director Bob Ess, New Glenn Senior Finance Manager Bill Scammell. Senior manager of production testing Christopher Payne. Senior propulsion design engineer Dave Sanderson. Senior HLS Human Factors Engineer Rachel Forman. Rocket engine development engineer Gerry Hudak. While the reasons for their departure from Blue Origin were not stated, frustration with the executive management and slow bureaucratic structures are often mentioned in employee reviews on Glassdoor. In a statement to CNBC, a company spokesperson highlighted Blue Origin's growth. "Blue Origin saw an increase of 850 people in 2020, and has grown by an additional 650 in 2021. Over the last three years, we have grown nearly four times. We are still able to fulfill important leadership roles in manufacturing and quality, engine design, vehicle design, as well as vehicle design. The spokesperson stated that it's a team we are building and has great talent. Blue Origin's astronaut lunar landing program had some of the engineers that left. Bezos' company was unable to bid for a NASA development contract. SpaceX was named the sole recipient under the Human Landing System (HLS), a program that awards $2.9 billion contracts. Blue Origin continued to fight for inclusion in the Human Landing System program, despite being denied by the Government Accountability Office last week. Blue Origin launched a public relations campaign against SpaceX's Starship Rocket rocket, and then sued NASA in federal court.
A $10,000 Bonus
After his spaceflight, Jeff Bezos enjoys champagne as he emerges from the New Shepard capsule. Blue Origin
Nearly 4,000 employees work for the company in the U.S. Multiple people who were familiar with the situation said that Blue Origin offered a $10,000 cash bonus to all its employees shortly after Bezos' July 20 spaceflight. The bonus was not given to Blue Origin contractors and was paid out to employees July 30. A spokesperson for the company confirmed that the bonus was given to employees as a thank you for reaching the milestone of sending people into space.
Two people inside the company told CNBC that the bonus was interpreted by the company's leadership as an attempt to keep talent in the company, given the large number of employees who filed notices to quit after the launch of its first crew to orbit and safely back. Glassdoor shows a stark disparity in employee satisfaction regarding Blue Origin's leadership compared to top space companies. Glassdoor shows that only 15% of Blue Origin employees are satisfied with CEO Bob Smith, compared to 91% for Elon Musk of SpaceX and 77% for Tory Bruno of United Launch Alliance.
The HLS fight
An illustration of the crew lander vehicle, NASA's Johnson Space Center August 2020. Blue Origin
NASA's Human Landing System program, also known as Artemis, is an important part of its plan to return American astronauts to the moon's surface. NASA awarded nearly $1 billion worth of concept development contracts for HLS last year. SpaceX received $135 million, Dynetics' subsidiary Leidos receiving $253 million and Blue Origin receiving $579 millions. NASA had hoped to award three of these companies hardware development contracts in 2011, but due to a lack of funding from Congress for HLS, NASA decided to only give SpaceX a contract worth approximately $2.9 billion. Blue Origin and Dynetics quickly filed protests to the U.S. Government Accountability Office. This halted NASA from working on the program until the protests were resolved. NASA's July 30 decision was upheld by the GAO. Blue Origin sued NASA in the U.S Court of Federal Claims on Aug. 16. NASA has already paid $300 million towards its SpaceX contract. This payment was made the day after the GAO denied the protests. According to court filings, NASA's work on HLS was halted once more by the Blue Origin lawsuit. The space agency will not resume its work until November 1.
Major delays
Jeff Bezos, a billionaire businessman, is launched along with three crew members aboard the New Shepard rocket, on the first suborbital flight unpiloted from Blue Origin's Launch Site 1 in Van Horn, Texas. It took place July 20, 2021. Reuters
Since Smith was appointed CEO of Blue Origin in 2017, Blue Origin has failed to deliver on several major programs. Bezos established the company in 2000 with the vision of creating "a future in which millions of people live and work in space for the benefit of Earth." The industry is full of delays, which is not uncommon in this industry where the old adage "space's hard" is repeated often, have hindered Bezos vision. This was highlighted by the resignation of Blue Origin's chief operational officer last year. Bezos was one of the crew members onboard Blue Origin’s reusable New Shepard Rocket, and he launched to the edge. Although the price has not been disclosed, New Shepard is a competitor to Virgin Galactic in sub-orbital tourism. Blue Origin has sold more than $100 million of tickets for future passenger flights. Blue Origin leadership expected that the rocket would begin launching people by 2017. Although the New Shepard crewed launch was a success, the company had already hoped for it to be a smooth success.
Artist's illustration of the New Glenn rocket, standing on the launchpad at Florida. Blue Origin
Blue Origin's next-generation reusable rocket, New Glenn, is currently being developed but has not yet been launched. The first New Glenn flight was originally scheduled for 2020. However, it is not expected that the rocket will liftoff until the fourth quarter 2022. This is despite Blue Origin receiving $255.5million from the U.S. Air Force for helping to develop the rocket. The Pentagon didn't choose New Glenn to continue contracts last year when the Department of Defense selected SpaceX (ULA), and multiple awards totaling billions of dollars. This loss was cited by Blue Origin when it announced New Glenn’s delay.
