Twitter Sued By Employees Over Promised But Unpaid Bonuses
Twitter Inc. employees have sued the social media major for allegedly refusing to pay 2022 bonuses, even after promising to pay 50 percent of targeted bonus.
In a lawsuit filed in San Francisco federal court, the current and former Twitter employees claim that in the months leading up to Elon Musk’s acquisition of Twitter in October 2022, the company’s executives, including former Chief Financial Officer, Ned Segal, repeatedly promised them that 2022 bonuses would be paid out at 50% of target.
This was in line with Twitter’s cash performance bonus plan that was paid out annually.
Twitter employees said the promise was repeated even after Musk’s acquisition, and that they relied upon the promise of receiving their 2022 bonus when choosing to remain employed by Twitter following the acquisition and/or deciding to forgo other employment opportunities.
However, despite these promises, Twitter refused to pay employees who remained employed by the company in the first quarter of 2023, any bonus, the suit noted.
In the filing, employees are seeking tens of millions of dollars in promised bonuses.
Twitter is already facing many legal issues over unpaid rent, bills as well as from former employees.
Last week, Twitter was sued by a group of 17 music publishers in the US, allegedly over copyright violations involving nearly 1,700 songs. In a lawsuit filed at the Federal District Court in Nashville, the National Music Publishers’ Association or NMPA, which represents firms such as Sony Music Publishing, BMG Rights Management and Universal Music Publishing Group, is seeking more than $250 million in damages.
The company is also under investigation at present by the US government for possible violations of privacy and security agreements with the Federal Trade Commission.
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