Severance pay for laid off workers gives headache to Twitter: report
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New York: It seems Elon Musk’s headaches from laying off employees at Twitter is just beginning, with their severance packages remaining unannounced.
After taking over Twitter months ago, Musk went on showing door to more than 7,000 employees that formed nearly 50 per cent of the company’s labour force.
Almost 1,000 of them lived in California, Bloomberg reported citing documents filed with the state.
As per the state and federal law they are eligible to receiving regular pay for months.
Weeks after losing jobs, these employees have not received any details about additional severance, or continuation of health coverage, known as COBRA.
As the two months ends on Wednesday, it is about time they heard from Musk regarding the severance pay.
Musk is working to turn around the company by cutting costs as well as introducing tougher work culture.
Cutting corners further, Musk has down away with employee benefits including free meals.
Despite these efforts, Twitter is facing suits over unpaid bills on private chartered planes fights, software services and rent, according to the report.
Lawyer Shannon Liss-Riordan representing hundreds of Twitter works said that “No one has gotten any severance pay”, adding that 100 arbitration claims were filed on Thursday.
