Businessman Elon Musk will be announced this Friday drastic cuts in Twitter templates. This is communicated by the company in an email sent to the workers.
The tycoon will notify his employees at 13:00 (Argentina time) whether they will continue the company or not. The layoffs are expected to affect about 3,700 jobs, about half of the social network workforce.
“Given the distributed nature of our workforce and our desire to notify affected individuals as quickly as possible, communication for this process will be done via email“Twitter is determined.
Notifications sent to workers indicate that employees who retain their jobs will be notified via company email, while those who have lost their jobs will be notified of the “next steps” via personal email account.
twitter too temporarily closed the office and suspending access to ID cards to “help ensure the security of every employee, as well as Twitter systems and customer data.”
In the email sent, the company, now owned by Musk, after paying for the social network $44 billion, argued that the action was in response to “an attempt to put Twitter on a healthy path.” He added: “We will go through the difficult process of reducing our global workforce on Friday.”
Twitter has not made a profit in several years and the number of its users remains static, around 300 million per month.
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“We recognize that this will affect a number of people who have made valuable contributions to Twitter, but unfortunately this action is necessary to ensure the company’s future success,” the note added. Social networks strive with this measure to reduce costs and make Twitter profitable.
Several employees said that after receiving the email, their laptop was disconnected from the company network as well as their Slack messaging program. “We all got emails saying there was going to be a massive downsizing, and about an hour later, laptops were offline and access to Slack and Gmail was revoked,” he told the BBC. Simon Balmain, UK Senior Twitter Community Manager. The notification put many workers to sleep, given the changing times in different countries.
Musk and a team of advisors evaluate a series of layoffs and other changes in workforce policies at the company based in the city of San Francisco, California. Companies will consider offering laid-off workers 60 days severance payas a Bloomberg agent pointed out this Thursday.
Twitter employees have been waiting for layoffs since Musk took control of the company and immediately removed many of its executive leadership, including the CEO. Parag AgrawalChief Financial Officer Ned Segal, and Senior Legal Team Vijaya Gadde and Sean Edgett.
In the days that followed, there was another way out such as the person in charge of marketing, Leslie Berlanddirector of customer service, Sarah Personette, and Jean-Philippe Maheu, who is vice president of global customer solutions.
Cryptocurrency platforms Binance, who invested in Twitter as part of Musk’s acquisition, said a few days ago from its CEO, Changpeng Zhao, that “a leaner workforce would make more sense.” In a recent speech at the Lisbon Web Summit, he also criticized social networks for taking too long to implement new features.
Twitter Worker Replica
After receiving the email, Twitter employees filed a class action lawsuit alleging that the company violated labor laws. In particular, Federal Worker Adjustment and Retraining Notice Act (WARNING Act) restricts large companies (those with more than 100 workers) from carrying out mass layoffs affecting 50 or more employees in one workplace without at least 60 days’ notice, according to Bloomberg.
“Elon Musk, the richest person in the world, has made it clear that he believes that complying with federal labor laws is trivial,” the attorney told CNN. Shannon Liss-Riordanwho filed the lawsuit.
“We have filed this federal complaint to ensure that— Twitter is responsible for our laws and for preventing its employees (the social network) from unknowingly relinquishing their rights“, he added.
This lawyer has sued the company Tesla over similar claims in June when the electric carmaker led by Musk laid off about 10% of its workforce.
A decision by a federal judge in the Texas city of Austin forced the workers in that case to pursue their claims in closed arbitration rather than in open court.
Layoffs will take place while Musk is also in sight how to increase twitter income. And his first decision to achieve it was heavily criticized. The tycoon immediately reported it will start charging 8 dollars a month for account verification, something until now free. Users who already have the blue verification badge will have a grace period of several months before paying for the badge or losing it.
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In addition to the verification badge, those who pay for the subscription will enjoy other sales: response priority, mention and search; the ability to post long videos and audio, and view half of the ads.
Musk has defended this plan by ensuring that had to “pay the bill somehow”. Twitter has not made a profit in several years and the number of its users remains static, around 300 million per month.
It is not clear how the cuts will affect platform operations. And it’s also unknown how many users will be able to leave the social network if Musk goes ahead with his plans 8 dollars.
And there are advertiser inconveniences, such as L’Oreal or Volkswagenwho decided to stop their advertising on Twitter until the company clarified its content moderation policy after Musk declared himself “absolute free speech.”
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