Billionaire Elon Musk reached a tentative agreement with former Twitter employees who claimed they were owed $500 million in severance pay after his takeover of the company in 2022, the New York Post reports.
Musk’s attorneys and the former Twitter employees reportedly reached a deal on Wednesday (August 20), according to a court filing, which states that both sides asked for a U.S. appeals court to delay an upcoming hearing in order to finalize a deal in which the fired employees would receive compensation and the litigation would conclude, however, the financial terms weren’t disclosed.
Musk fired approximately 6,000 Twitter employees after his purchase and takeover of the social media website, which has since been rebranded to X. Several employees sued over terminations and severance pay, with some still pending in Delaware and California courts. The settlement reached on Wednesday would resolve a class action filed by Courtney McMillian, who previously oversaw Twitter’s employee benefit programs as its “head of total rewards,” and Ronald Cooper, who worked as an operations manager, in California.
A previous lawsuit was dismissed by a federal judge in San Francisco in July 2024 and later appealed in the 9th US COurt of Appeals, which has been scheduled for oral arguments on September 17.
Recent Comments