Elon Musk is now backtracking on his decision to cut half of Twitter’s workforce.
Key Details
- After acquiring Twitter on October 27, Elon Musk fired every member of the Twitter board and many other top executives.
- He also made the decision to wipe out half of Twitter’s employees.
- In addition he made wide-ranging plans to change how the social-media site operates.
- Now he and his new staff realize that they might have fired some of the key people needed to revamp the platform.
Why it’s news
After months of fighting and many appearances in court Elon Musk officially acquired Twitter for $44 billion in late October.
Since the acquisition was finalized Musk has made many changes to the company with one of the biggest being firing a vast majority of employees.
Last week he announced that he was cutting Twitter’s workforce in half in an attempt to cut down costs. He alleges that he paid too much for the company saying markets were much better when he made his original offer in April.
His decision to cut around 3,700 employees got him sued. The reasoning was that the federal Worker Adjustment and Retraining Notification Act says large companies cannot have huge layoffs without at least 60 days of advance notice to employees, which Twitter did not do.
Now after all of the hassle of cutting employees and getting a class action lawsuit filed against him—Musk has changed his mind and is attempting to bring back some of the fired employees.
The firings were done in a hurry as Musk attempted to combat dome of the money Twitter was losing and in the process some employees were fired as a mistake, according to people close to the matter.
Another reason Twitter is reaching back out to dozens of the fired employees is because the company fired them before realizing that they were needed in order to accomplish some of Musk’s big goals.
Twitter has not yet responded to questions.