Particle.news

Download on the App Store

X Reaches Tentative Settlement With Former Twitter Employees in Severance Case

The parties asked the Ninth Circuit to delay oral argument to finalize a deal resolving the California class action.

FILE PHOTO: Elon Musk, Chief Executive Officer of SpaceX and Tesla and owner of Twitter, gestures as he attends the Viva Technology conference dedicated to innovation and startups at the Porte de Versailles exhibition centre in Paris, France, June 16, 2023. REUTERS/Gonzalo Fuentes/File Photo/File Photo
Image

Overview

  • Attorneys for X Corp and the plaintiffs reported a tentative agreement in a Wednesday court filing and sought a postponement of the upcoming appeals hearing.
  • The settlement would resolve the proposed class action led by former benefits chief Courtney McMillian and operations manager Ronald Cooper.
  • Financial terms were not disclosed, though the plaintiffs had alleged roughly $500 million in unpaid severance for about 6,000 laid-off workers.
  • A federal judge dismissed the case in July 2024, and the appeal had been set for September 17 before the parties moved to pause proceedings.
  • The lawsuit cites a 2019 severance plan promising more generous payouts than what workers say they received, and separate compensation cases remain pending in California and Delaware.