PanaTimes

Sunday, Mar 26, 2023

Twitter mass layoffs begin as Musk slashes costs

Twitter mass layoffs begin as Musk slashes costs

Thousands of Twitter employees were ordered to stay home on Friday to await a bracing round of layoffs that could see half of the payroll axed as new owner Elon Musk launches his major overhaul of the company.

A week after the billionaire took over the company promising sweeping changes, Twitter workers around the world have been checking two email addresses to find out if they still have a job, according to an internal memo sent to employees and seen by Bloomberg.

An email to their work account means they’ve been retained. A letter in their personal inbox means they’ve been fired.

Twitter promised to notify workers by 9am San Francisco time on Friday, and has temporarily closed offices and suspended badge access “to help ensure the safety of each employee as well as Twitter systems and customer data,” the memo said

The cull is part of Musk's push to find ways to pay for the mammoth $44-billion deal for which he took on billions of dollars in debt and sold $15.5 billion worth of shares in Tesla, his electric car company.

Musk, the owner of Tesla and SpaceX, has been scrambling to find new ways for Twitter to make money after his mammoth buyout, including charging users $8 a month for verified accounts.

This would help overcome the potential loss of advertisers, Twitter’s main source of revenue, with many of the world’s top brands putting their ad buys on hold, spooked by Musk’s well-known disdain for content moderation.

To mitigate concerns, Musk has vowed that the site would not become a "free-for-all hellscape” though this was quickly followed by a Musk retweet that relayed a conspiracy theory about the assault on the husband of the US House Speaker.

Though extremely influential with opinion-makers and celebrities, the California company has long struggled to generate profit and has failed to keep pace with Meta-owned Facebook and TikTok in gaining new users.

"In an effort to place Twitter on a healthy path, we will go through the difficult process of reducing our global workforce," the unsigned email said.

The email did not give a number but the Washington Post and New York Times reported that about half of Twitter's 7,500 employees — mostly based in San Francisco — will be let go.


Saying goodbye

Some workers had already begun to learn their fates and took to Twitter to say goodbye to colleagues.

"Spoiler Alert: I do not have a job," tweeted ex-employee Blake Herzinger as others reported losing access to company servers and email accounts.

Twitter employees have been bracing for this kind of bad news since Musk completed his acquisition late last week and quickly set about dissolving its board and firing its chief executive and top managers.

Late on Thursday, a group of five Twitter employees who had already been fired filed a class action complaint against the company on the grounds that they had not been given the required 60-day notice period as required by law.

The lawsuit references the US Worker Adjustment and Retraining Notification  Act, which provides workers a right to advance notice in cases of mass layoffs or plant closings.

The speed of the changes is having repercussions. Twitter has already been sued for not giving proper notice of the plan to eliminate about 3,700 jobs. 

Some advertisers are also wary of Musk’s plans to reexamine Twitter’s content moderation policy. Volkswagen, Europe’s largest carmaker, joined Pfizer and General Mills in temporarily pausing advertising on the platform.

“Twitter has had a massive drop in revenue, due to activist groups pressuring advertisers, even though nothing has changed with content moderation and we did everything we could to appease the activists,” Musk said in a tweet. “Extremely messed up! They’re trying to destroy free speech in America.”


Newsletter

Related Articles

PanaTimes
Close
0:00
0:00
Powell: Silicon Valley Bank was an 'outlier'
Bordeaux town hall set on fire in France pro democracy protest
Police violence in Paris
Donald Trump arrested – Twitter goes wild with doctored pictures
NYPD is setting up barricades outside Manhattan Criminal Court ahead of Trump arrest.
Credit Suisse's Scandalous History Resulted in an Obvious Collapse - It's time for regulators who fail to do their job to be held accountable and serve as an example by being behind bars.
Paris Rioting vs Macron anti democratic law
'Sexual Fantasy' Assignment At US School Outrages Parents
The US government has charged Chinese businessman Guo Wengui with leading a $1 billion fraud scheme that cheated thousands of followers out of their money.
Credit Suisse to borrow $54 billion from Swiss central bank
Russian Hackers Preparing New Cyber Assault Against Ukraine
"Will Fly Wherever International Law Allows": US Warns Russia After Drone Incident
If this was in Tehran, Moscow or Hong Kong
TRUMP: "Standing before you today, I am the only candidate who can make this promise: I will prevent World War III."
Drew Barrymore
China is calling out the US, UK, and Australia on their submarine pact, claiming they are going further down a dangerous road
A brief banking situation report
Lady bites police officer and gets instantly reaction
We are witnessing widespread bank fails and the president just gave a 5 min speech then walked off camera.
Donald Trump's asked by Tucker Carlson question on if the U.S. should support regime change in Russia?.
Silicon Valley Bank exec was Lehman Brothers CFO
Elon Musk Is Planning To Build A Town In Texas For His Employees
The Silicon Valley Bank’s collapse effect is spreading around the world, affecting startup companies across the globe
City officials in Berlin announced on Thursday that all swimmers at public pools will soon be allowed to swim topless
Fitness scam
Market Chaos as USDC Loses Peg to USD after $3.3 Billion Reserves Held by Silicon Valley Bank Closed.
Senator Tom Cotton: If the Mexican Government Won’t Stop Cartels from Killing Americans, Then U.S. Government Should
Banking regulators close SVB, the largest bank failure since the financial crisis
Silicon Valley Bank: Struggles Threaten Tech Startup Ecosystem"
Man’s penis amputated by mistake after he’s wrongly diagnosed with a tumour
In a major snub to Downing Street's Silicon Valley dreams, UK chip giant Arm has dealt a serious blow to the government's economic strategy by opting for a US listing
It's the question on everyone's lips: could a four-day workweek be the future of employment?
Is Gold the Ultimate Safe Haven Asset in Times of Uncertainty?
Spain officials quit over trains that were too wide for tunnels...
Corruption and Influence Buying Uncovered in International Mainstream Media: Investigation Reveals Growing Disinformation Mercenaries
Givenchy Store in New York Robbed of $50,000 in Merchandise
European MP Clare Daly condemns US attack on Nord Stream
Former U.S. President Carter will spend his remaining time at home and receive hospice care instead of medication
Tucker Carlson called Trump a 'demonic force'
Kamala Harris: "The United States has formally determined that Russia has committed crimes against humanity."
US Joins 15 NATO Nations in Largest Space Data Collection Initiative in History
White House: No ETs over the United States
U.S. Jet Shoots Down Flying Object Over Canada
Nord Stream terror attack: David Sacks breaks down Sy Hersh's story
Being a Tiktoker might be expensive…
Miracle: El Salvador Search and Rescue teams, with the support of Turkish teams, rescued a woman and a child from the rubble 150 hours after the earthquake
SpaceX, the private space exploration company, made a significant breakthrough in their mission to reach space.
China's top tech firms, including Alibaba, Tencent, Baidu, NetEase, and JD.com, are developing their own versions of Open AI's AI-powered chatbot, ChatGPT
This shocking picture, showing how terrible is the results of the earthquake in Turkey
President Joe Biden delivered the 2023 State of the Union Address , in order to help Americans that missed the 2022 speech, do not have internet, and suffer from short memory.
×