Twitter Faces Accusations of Avoiding Legal Battles Over Mass Layoffs

  • According to a lawsuit filed in San Francisco federal court, Twitter has been accused of avoiding arbitration with approximately 2,000 ex-employees.
  • Twitter won a lawsuit in January 2023, requiring employees to resolve their grievances in closed-door arbitration hearings instead of open court, class-action lawsuits.

Twitter is again facing trouble as a new lawsuit accuses the company of refusing to take part in arbitration proceedings with ex-employees fired following Elon Musk’s takeover.

The company initially pushed employees to resolve their grievances with Twitter through arbitration proceedings, including payment, severance, discrimination, etc. Now known as X Corp., the company faces thousands of suits covering workplace and labor disputes.

However, despite the company’s demands that employees use arbitration, Twitter representatives themselves haven’t been attending the proceedings, according to the suit filed in San Francisco federal court.

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Suit Claims That Twitter Is Unwilling To Bear Arbitration Expenses

In January 2023, Twitter won a ruling which made it mandatory for workers who had signed arbitration agreements to air their grievances in closed-door arbitration meetings, which private judges would oversee.

Usually, in such cases, the company benefits as workers frequently give up instead of pursuing the fight of arbitration to the end. However, according to Shannon Liss-Riordan, the lawyer representing Twitter’s ex-employees, Twitter is refusing to pay the fees for arbitration proceedings, which are required according to employment agreements.

This is only the latest in the long list of troubles Twitter has faced since the Musk takeover, including platform glitches, controversial policy changes, the resignation of key employees, significant drops in advertising revenues, and competition looking to capitalize on the company’s problems.

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