TWTR - A Court Has Ruled That Twitter Must Inform Former Employees of Pending Litigation
Twitter Inc. ( NYSE:TWTR )
A federal court in San Francisco has ordered Twitter Inc. ( NYSE:TWTR ) to inform the hundreds of employees who were let off following its takeover by Elon Musk of a planned class action accusing the business of failing to provide enough notice before firing them.
U.S. District Judge James Donato issued a three-page order on Wednesday instructing Twitter to provide employees with “a short and properly written notice” of the case filed last month before requiring them to sign severance agreements surrendering their capacity to sue the business.
To slash costs, Musk, the wealthiest man in the world, ordered Twitter to lay off almost 3,700 workers in early November, and hundreds more quit in protest.
The complaint claims that Twitter conducted mass layoffs without providing the requisite 60 days’ notice, as federal and California law requires. As expected, Twitter says it did nothing wrong.
According to the order by Judge Donato, it would be deceptive to urge employees to sign away their legal rights against Twitter without disclosing the litigation.
Twitter had agreed to wait for Donato’s ruling before pursuing releases from terminated employees.
This ruling is “a simple but crucial step that will give workers a chance to more fully understand their rights instead of merely signing them away,” said plaintiffs’ attorney Shannon Liss-Riordan.
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