Atlassian Accused of Illegally Firing Employee Who Criticized CEO

Federal prosecutors allege the software firm retaliated against an engineer for voicing concerns over layoffs and the CEO's 'flippant attitude'.

Mar. 21, 2026 at 2:12pm

Fresh off of laying off 10% of its workforce, Atlassian is being accused of illegally firing an employee, Denise Unterwurzacher, for criticizing the company's CEO Mike Cannon-Brookes over his 're-leveling' plan to effectively demote and lay off many staff members. Federal prosecutors argue the firing amounts to illegal retaliation against an employee for exercising their right to voice criticism and take collective action at work.

Why it matters

This case highlights the ongoing tensions between tech companies and their employees, especially around issues of transparency, corporate culture, and workers' rights. It raises questions about the limits of free speech and employee protections, particularly when directed at company leadership.

The details

According to the NLRB, the firing centered on a June 2023 incident where Cannon-Brookes, while explaining the layoffs from the headquarters of the Utah Jazz basketball team he co-owns, was criticized by employees in a company Slack channel. Unterwurzacher, along with many colleagues, vented their frustrations, with Unterwurzacher writing: 'What's up Outragers, just dialing in from my NBA team's headquarters to yell at the people whose careers I've just pummeled.' Days later, Atlassian fired Unterwurzacher, claiming she had 'engaged in acrimonious communications and ad hominem attacks against teammates and colleagues.' Her lawyers argue she was exercising her right to criticize the CEO.

  • In June 2023, the incident occurred during an 'Ask Me Anything' video call with employees.
  • Days after the Slack channel incident, Atlassian fired Unterwurzacher in June 2023.

The players

Denise Unterwurzacher

An engineer at Atlassian who was fired for criticizing the company's CEO over his 're-leveling' plan and layoffs.

Mike Cannon-Brookes

The billionaire co-founder and at-the-time co-CEO of Atlassian, who was explaining the company's layoff plans from the headquarters of the Utah Jazz basketball team he co-owns.

Atlassian

An Australian software firm that is being accused of illegally firing an employee for criticizing the company's leadership.

National Labor Relations Board (NLRB)

The federal agency that is alleging Atlassian's firing of Unterwurzacher amounts to illegal retaliation against an employee.

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What they’re saying

“Employees disagreed in the chat, which resulted in Cannon-Brookes angrily interjecting to tell off the people who were complaining.”

— Colton Puckett, NLRB lawyer

“What's up Outragers, just dialing in from my NBA team's headquarters to yell at the people whose careers I've just pummeled.”

— Denise Unterwurzacher

“Just because it was a CEO doesn't excuse the conduct. It was an irrelevant personal attack and insult directed at a colleague, essentially calling him a 'rich jerk'.”

— Troy Valdez, Atlassian attorney

“I think it's difficult to point out the power imbalance in a way that is not potentially described by somebody as an ad hominem attack.”

— Denise Unterwurzacher

What’s next

The judge in the case will decide whether Atlassian's firing of Unterwurzacher was illegal retaliation against an employee exercising their rights.

The takeaway

This case highlights the ongoing tensions between tech companies and their employees over issues of transparency, corporate culture, and workers' rights. It raises questions about the limits of free speech and employee protections, particularly when directed at company leadership.