Elon Musk, X settle $500M lawsuit by fired Twitter workers | Latest Tech News
Elon Musk and his social media company X Corp. have reached a tentative settlement to settle a lawsuit filed by former Twitter workers who said they had been owed $500 million in severance pay.
Attorneys for X Corp. and the previous Twitter workers reported the deal in a Wednesday court submitting, in which both sides requested a US appeals court to delay an upcoming court listening to so that they may finalize a deal that would pay the fired workers and end the litigation. The financial phrases of the deal weren’t disclosed.
Musk fired roughly 6,000 workers after his 2022 acquisition of Twitter, which he rebranded X. Several workers sued over their terminations and severance pay, and other lawsuits are still pending in courts in Delaware and California.
Elon Musk fired roughly 6,000 workers after his 2022 acquisition of Twitter, which he rebranded X. AP
The settlement would resolve a proposed class motion filed in California by Courtney McMillian, who beforehand oversaw Twitter’s worker advantages applications as its “head of total rewards,” and Ronald Cooper, who was an operations supervisor.
A federal decide in San Francisco dismissed the staff’ lawsuit in July 2024, and they appealed to the San Francisco-based ninth US Court of Appeals. The ninth Circuit had been scheduled to hear oral arguments on Sep. 17.
A federal decide in San Francisco dismissed the staff’ lawsuit in July 2024, and they appealed to the San Francisco-based ninth US Court of Appeals. Getty Images
Attorneys for Musk and McMillian didn’t immediately reply to requests for remark on Thursday.
The lawsuit argued that a 2019 severance plan assured that most Twitter workers would obtain two months of their base pay plus one week of pay for each full yr of service if they had been laid off. Senior workers such as McMillian had been owed six months of base pay, according to the lawsuit.
But Twitter only gave laid-off workers at most one month of severance pay, and many of them didn’t obtain something, according to the lawsuit. Twitter laid off more than half of its workforce as a cost-cutting measure after Musk acquired the company.
Stay informed with the latest in tech! Our web site is your trusted source for breakthroughs in artificial intelligence, gadget launches, software program updates, cybersecurity, and digital innovation.
For recent insights, professional coverage, and trending tech updates, go to us repeatedly by clicking right here.
