Twitter Inc on Wednesday used to be hit with a lawsuit accusing it of refusing to pay a minimum of $500 million in promised severance to hundreds of staff who have been laid off after Elon Musk bought the corporate.
Courtney McMillian, who oversaw Twitter’s worker advantages methods as its “head of total rewards” ahead of she used to be laid off in January, filed the proposed elegance motion in San Francisco federal courtroom.
McMillian claims that underneath a severance plan created via Twitter in 2019, maximum employees have been promised two months in their base pay plus one week of pay for every complete 12 months of provider in the event that they have been laid off. Senior staff equivalent to McMillian have been owed six months of base pay, in step with the lawsuit.
But Twitter simplest gave laid-off employees at maximum one month of severance pay, and lots of of them didn’t obtain anything else, McMillian claims.
Twitter laid off greater than part of its group of workers as a cost-cutting measure after Musk bought the corporate in October.
Twitter now not has a media family members division. The corporate spoke back to a request for remark with a poop emoji.
The lawsuit accuses Twitter and Musk of violating a federal legislation regulating worker get advantages plans. Twitter has already been sued for allegedly failing to pay severance, however the ones instances contain breach of contract claims and no longer the advantages legislation. The corporate has stated it has paid ex-employees in complete.
A pending lawsuit filed final month accuses Twitter of additionally failing to pay tens of millions of bucks in bonuses it owes to last staff. Twitter has stated the claims lack benefit.
The corporate may be going through a chain of different court cases stemming from the layoffs that started final 12 months, together with claims that it focused ladies and employees with disabilities. Twitter has denied wrongdoing within the instances by which it has filed responses.