Twitter faces lawsuit from former employees seeking US$500 million in compensation

Twitter and its owner, Elon Musk, were sued this Wednesday before the US Court by former employees who demand at least 500 million dollars for dismissal compensation that they supposedly corresponded to and did not receive.

Led by Courtney McMillan, a former head of the company’s human resources area, the dismissed employees brought the action in court from San Francisco (California).

The lawsuit alleges that Twitter has laid off approximately 6,000 workers since its acquisition by Musk and that none of them have been paid the compensation to which they were entitled under the company’s severance plan.

According to McMillan, that plan established that at least those laid off should receive two months’ salary plus one week for each year worked in the event of being laid off, and some of them were entitled to even higher compensation based on their rank.

However, the lawsuit claims, the former employees received at most one month of severance and many have yet to receive anything, so the signatories accuse Twitter and Musk of violating federal regulations on workers’ compensation.

The company is already facing other similar lawsuits for allegedly having breached the contracts of terminated employees, while it relies on the violation of those US laws.

Although it does not specify the number of victims, the legal action considers that those dismissed are jointly entitled to at least 500 million dollars.

After taking control of Twitter last year, Musk undertook a massive restructuring of the social network, suddenly laying off more than half of the workforceto which it later added new outlets in the following months.

In total, it is estimated that the company reduced its employees to about 1,300, when previously it had about 7,500.

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