Twitter says attrition up a bit, companywide layoffs not planned amid legal battle with Elon Musk
Twitter says that as far as tech companies are concerned, its attrition rate is in line with the industry
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Twitter is attempting to calm some employee jitters concerning jobs amid the company's escalating legal battle with Elon Musk after the tech billionaire backed out of his deal to buy the social media giant for $44 billion.
The company is telling employees that it's not planning any companywide layoffs, but there could be some restructuring and organization changes as it takes Musk to court.
The information was included in a regulatory filing on Wednesday.
Twitter says it has lost workers at a slightly higher rate than in normal economic times, but attrition is in line with current tech industry trends.
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Tesla CEO Elon Musk backed out of his $44 billion bid to buy Twitter. (Getty Images / Getty Images)
Twitter said it had planned to offer packages to retain employees. The company also asked Musk on June 20 to agree to programs that had been approved by the board and its compensation committee.
The filing said that Musk had not given his consent.
Twitter sued Musk on Tuesday, trying to force him to complete his $44 billion takeover of the social media company by accusing him of "outlandish" and "bad faith" actions that have caused the platform irreparable harm and "wreaked havoc" on its stock price.
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Back in April, Musk pledged to pay $54.20 a share for Twitter Inc., which agreed to those terms after reversing its initial opposition to the deal.
Tesla CEO Elon Musk and Twitter CEO Parag Agrawal. (Reuters/Twitter / Reuters Photos)
The billionaire said Friday that he was backing away from his agreement to buy the company.
TWITTER SUES ELON MUSK OVER HIS ATTEMPT TO BACK OUT OF $44 BILLION DEAL
Twitter’s lawsuit in Delaware Chancery Court asserts that "Musk refuses to honor his obligations to Twitter and its stockholders because the deal he signed no longer serves his personal interests."
In this photo illustration, a Twitter logo seen displayed on a smartphone screen along with Tesla CEO Elon Musk who backed out of his deal to buy the social media platform. (Photo Illustration by Sheldon Cooper/SOPA Images/LightRocket via Getty Images / Getty Images)
Attorneys for Musk informed Twitter last week that the billionaire planned to terminate the deal to purchase the social media giant, alleging that the platform appears to have "made false and misleading representations" — particularly regarding how it handles spam accounts.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| TWTR | n.a. | n.a. | n.a. | n.a. |
| TSLA | TESLA INC. | 157.11 | -4.37 | -2.71% |
Twitter revealed communications from Musk starting shortly after the deal was signed showing his concerns about "headcount and expense growth" and his desire for more aggressive cost-cutting.
The Associated Press contributed to this report.