Twitter’s laid-off workers cannot pursue claims via class-action lawsuit, will need to sue individually, rules judge- Technology News, Firstpost

Mehul Reuben DasJan 16, 2023 12:20:02 IST

Elon Musk and his team of lawyers at Twitter finally have a win in one of the many court proceedings that the eccentric owner of Tesla and Twitter is involved in. A US district judge has ruled that the former workers of Twitter who were laid off and who then went on to file a class action lawsuit, will need to pursue their claims individually. Basically, the people who claim that Musk fired them arbitrarily will need to pursue individual arbitration.

Citing contracts that employees had signed with Twitter, a judge has ruled that employees who were fired by Elon Musk cannot sue the company in a class-action lawsuit, and will need to pursue their claims individually. Image Credit: AFP

The San Fransisco 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 allowed Twitter’s request to force the five ex-employees to pursue their claims individually, citing agreements they signed with the company.

The San Francisco judge also noted that three additional former Twitter employees who claimed they had opted out of the company’s arbitration agreement have joined the lawsuit after it was first filed. He also allowed both the parties, Twitter and the terminated employees a day’s time “as warranted by developments in the case” whether the entire class action lawsuit must be dismissed.

On Monday, Shannon Liss-Riordan, the attorney for the plaintiffs, stated that she had already submitted 300 claims for arbitration on behalf of former Twitter workers and will probably submit hundreds more. All of those employees contend they did not get the whole severance payment promised by Twitter prior to Musk taking over. Other workers claim they were discriminated against, on the basis of their sex or disability.

As a result of a planned class action alleging that Twitter failed to provide sufficient notice before firing them, Donato had previously decided that Twitter must tell the hundreds of employees who were let off after its takeover by Musk.

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”.

To refresh everyone’s memory, Twitter laid off roughly 3,700 employees in early November in a cost-cutting measure by Musk, and hundreds more subsequently resigned. After that, he also fired about 4000 content moderators and forced thousands of other staff members to resign. 

As a result of Musk’s acquisition of the firm in December of last year, Twitter was also charged with a number of legal offences, including discriminating against women in layoffs and failing to pay promised severance.

At least three complaints have been made against Twitter to a U.S. labour board, alleging that employees were let go for speaking out against the business, trying to organise a strike, and other actions covered by federal labour law.