Also: Bumble's new CEO, Disney's new CFO, hybrid discipline.
Good morning.
A quick news quiz: Why is Jeff Bezos moving from Washington state to Florida?
Before you answer, here’s some context. In March, the Washington Supreme Court upheld the state’s 7% tax on capital gains above $250,000. And where does Bezos’s roughly $160 billion fortune currently reside? Mostly in unrealized capital gains in Amazon stock. Florida doesn’t tax capital gains. And by the way, Washington also has an estate tax that goes from 10% to 20% on estates over $2.19 million. Florida does not. The Bezos estate’s estimated savings: $32 billion.
Back to the quiz. In discussing the move, Bezos said:
1. He loves Miami;
2. He wants to be closer to his parents, who recently moved there; and
3. The operations of Blue Origin are “increasingly shifting to Cape Canaveral.”
And taxes? No mention.
Now let’s be clear, there is nothing wrong with Bezos changing states to reduce his taxes. Lots of people do it. I live in Greenwich, Conn., and a high percentage of my neighbors also “live” in Florida these days to avoid this state’s 12% tax on estates over $12.92 million. If you are a hedge fund multi-millionaire or billionaire, you don’t want to die in Connecticut or Washington.
But in a world where trust is in short supply, wouldn’t it be better if Bezos simply acknowledged that tax is a factor? I think so. You can read more here. Other news below.
Alan Murray
@alansmurray
alan.murray@fortune.com
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Bumble’s CEO steps down
Bumble founder Whitney Wolfe Herd is stepping down as CEO of the dating app. Slack CEO Lidiane Jones will now run the company, as Wolfe Herd transitions to executive chair. Wolfe Herd tells Fortune’s Emma Hinchliffe that she now wants to tackle the loneliness epidemic and internet toxicity: “I’m really looking at the future of love and connection,” she says. Fortune
A new CFO at Disney
The Walt Disney Company has a new chief financial officer: Hugh Johnston, vice chairman and CFO at PepsiCo. Disney CEO Bob Iger called Johnston “one of the best CFOs in America.” Disney is gearing up for a new battle with Trian Fund Management’s Nelson Peltz, and Johnston helped PepsiCo fight off the activist investor during his time at the consumer goods giant. Bloomberg
Hybrid work discipline
Stanford economist Nicholas Bloom, an expert on remote work, thinks the debate on working from home is “practically” settled, as employees continue to stay away from the office. Bloom argues that having employees switch between time in groups and time alone—so, hybrid work—is best for fostering creativity. But that requires “discipline,” he says: If a company agrees that employees need to come in on a given day, everyone needs to come in. Fortune
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Holiday Travel Clear for Takeoff Travel spend is up, and 48% of Americans intend to travel between Thanksgiving and mid-January this year according to Deloitte’s 2023 Holiday Travel Survey. What impact will this holiday season have on the travel industry? Read more here.
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