🍎 🍕 Less apples, more pizza 🤔 Have you seen Buffett’s portfolio recently?Explore for Free

Twitter's laid-off workers cannot pursue claims via class-action lawsuit-judge

Published 01/17/2023, 05:35 AM
Updated 01/17/2023, 04:27 PM
© Reuters. FILE PHOTO: The Twitter logo is seen outside the offices in New York City, U.S., November 9, 2022. REUTERS/Brendan McDermid//File Photo

(Reuters) -Twitter Inc has secured a ruling allowing the social media company to force several laid-off workers suing over their termination to pursue their claims via individual arbitration than a class-action lawsuit.

U.S. District Judge James Donato on Friday ruled that five former Twitter employees pursuing a proposed class action accusing the company of failing to give adequate notice before laying them off after its acquisition by Elon Musk must pursue their claims in private arbitration.

Donato granted Twitter's request to force the five ex-employees to pursue their claims individually, citing agreements they signed with the company.

Twitter did not immediately respond to a request for comment.

The San Francisco judge left for another day "as warranted by developments in the case" whether the entire class action lawsuit must be dismissed, though, as he noted three other former Twitter employees who alleged they had opted out of the company's arbitration agreement have joined the lawsuit after it was first filed.

The lawyer who represents the plaintiffs, Shannon Liss-Riordan, said on Monday that she had already filed 300 demands for arbitration on behalf of former Twitter employees and would likely file hundreds more.

Those workers all claim they have not received the full severance package promised by Twitter before Musk took over. Some have also alleged sex or disability discrimination.

Last year, Donato had ruled that Twitter must notify the thousands of workers who were laid off after its acquisition by Musk following a proposed class action accusing the company of failing to give adequate notice before terminating them.

The judge said that before asking workers to sign severance agreements waiving their ability to sue the company, Twitter must give them "a succinct and plainly worded notice".

Twitter laid off roughly 3,700 employees in early November in a cost-cutting measure by Musk, and hundreds more subsequently resigned.

© Reuters. FILE PHOTO: The Twitter logo is seen outside the offices in New York City, U.S., November 9, 2022. REUTERS/Brendan McDermid//File Photo

In December last year, Twitter was also accused by dozens of former employees of various legal violations stemming from Musk's takeover of the company, including targeting women for layoffs and failing to pay promised severance.

Twitter is also facing at least three complaints filed with a U.S. labor board claiming workers were fired for criticizing the company, attempting to organize a strike, and other conduct protected by federal labor law.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.