Twitter was sued Tuesday, the second this month alleging the company owes former employees at least $500 million in severance pay. It follows a series of lawsuits filed since Elon Musk bought the social media company.
The class action lawsuit, filed in Delaware federal court by former Twitter chief engineer Chris Woodfield, also alleges the company targeted older employees in the firings, an allegation that has not been made in previous lawsuits.
Mr. Woodfield, a former Twitter employee based in Seattle, said the company repeatedly assured employees that they would receive two months of pay and other benefits when they were laid off, but he and many other employees did not receive the payments.
Twitter has laid off more than half of its staff in a round of cost cuts after Elon Musk bought the company in October 2022.
Twitter no longer has a media relations department, and the company responded to an email request for comment with an automated response. The company has said in its response to other lawsuits that the fired employees were paid in full.
A similar lawsuit has also been filed in federal court in California, alleging that Twitter owes former employees up to $500 million in severance pay.
Twitter has not responded to the lawsuit, which alleges the company violated federal employee rights laws by failing to honor severance agreements signed before Mr. Musk bought the company.
Woodfield’s lawsuit alleges breach of contract and fraud. Woodfield also claims Twitter singled him out for being an “older employee,” but the lawsuit does not mention his age.
According to the lawsuit, Mr. Woodfield signed an agreement to negotiate a series of legal disputes related to his work, in which he would require Twitter to pay an initial fee before settling each case individually. Twitter has asserted that these employees did not submit the necessary paperwork.
In a series of other lawsuits, Twitter has also been accused of targeting women and disabled employees in layoffs, failing to provide timely notice of termination, and failing to provide adequate benefits to employees. The company has denied the allegations.
Nguyen Quang Minh (according to Reuters)
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