Overview

• Both sides disclosed an agreement in principle and jointly asked to delay the Sept. 17 appellate hearing, which the court granted to allow finalization.
• The financial terms of the tentative deal were not revealed.
• The proposed class action was brought by former employees Courtney McMillian, a benefits leader, and Ronald Cooper, an operations manager.
• The lawsuit cited a 2019 plan that promised most workers two months’ base pay plus a week per year of service, with six months for senior staff, while many received at most one month or nothing.
• About 6,000 employees were let go after Elon Musk’s 2022 acquisition, and separate lawsuits over compensation and severance remain pending in California and Delaware.