Vishal Garg, the founder of Better.com, who conducted mass Zoom layoffs, has returned as CEO.

• Vishal Garg, the founder and CEO of digital mortgage lender Better, is returning as CEO, according to an internal memo obtained by CNBC.
• Garg's decision to step back from his role as CEO of Better came less than two months after he faced criticism for laying off 900 employees, or 9% of the company's workforce, via Zoom.
• The board of the company has announced that Vishal will resume his full-time duties as CEO. We have faith in Vishal and the changes he intends to implement to enhance the leadership, focus, and vision that Better requires at this critical juncture.

According to an internal memo obtained by CNBC, Vishal Garg, the founder and CEO of digital mortgage lender Better, will remain as CEO.

Garg resigned as CEO of Better.com less than two months after he laid off about 900 employees via Zoom.

The memo from Better's board stated that CEO Vishal Garg has been taking a break from his full-time duties to reflect on his leadership, reconnect with the values that make Better great, and work closely with an executive coach.

Vishal will resume his full-time duties as CEO, and we are confident in his ability to make necessary changes to lead Better effectively at this crucial juncture.

The memo indicates that Raj Date and Dinesh Chopra have resigned from the board, but not due to any conflict with Better.

Garg cited market efficiency, performance, and productivity as the reasons for the layoffs at the time. Later, Fortune reported that Garg accused the employees of "stealing" from their colleagues and customers by being unproductive and only working two hours a day.

In May, Better announced a merger with a company that valued the company at $7.7 billion, including a $1.5 billion private investment in public equity (PIPE) arrangement led by SoftBank.

Immediately after the layoffs, Better received a cash infusion from Aurora and SoftBank, who modified their financing agreement to provide the company with $750 million, half of the PIPE commitment, rather than waiting for the blank-check deal to close.

Ongoing scrutiny has caused Better to delay its listing plans.