Zenefits CEO steps down over compliance issues

Parker Conrad, the founder and CEO of human relations software startup Zenefits, has stepped down.

Chief Operating Officer David Sacks is succeeding him.

Sacks told employees in an email on Monday that "many of our internal processes, controls and actions around compliance have been inadequate, and some decisions have just been plain wrong. As a result, Parker has resigned."

The firm's salespeople have been accused of acting as insurance agents without proper licensing in at least seven states.

The company manages everything from payroll to health insurance.

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