X is obligated to pay more than 500 million yen just for arbitration fees with former Twitter employees

Elon Musk implemented large-scale personnel reductions when he acquired Twitter (now X) in 2022. Former employees who were forced to retire due to personnel reductions are proceeding with arbitration with X, and it has become clear that the arbitration fee paid by X has reached 3.52 million dollars (about 513 million yen).

X (Twitter) faces 2,200 arbitration cases, filing fees over $3 million


Mr. Musk carried out a large-scale personnel reduction immediately after the acquisition of Twitter, dismissing more than half of the employees around the world, including Japan. Some of the dismissed employees complained that they did not receive a notice of dismissal and suddenly could not access the system.

A large number of employees are dismissed in Japan, India, Ireland, etc. due to the layoff of Twitter employees by Earon Mask - GIGAZINE

After the mass dismissal by Mr. Mask, former employees began to file lawsuits against X or seek arbitration, claiming that ``retirement benefits have not been paid''. From the documents submitted to the Delaware court on Monday, August 28, 2023, 2,200 former employees, led by former employee Chris Woodfield, are facing Elon Musk and X. It has been revealed that the arbitration award is proceeding.

The arbitrators for X and the former employees are

JAMS , which provides litigation-related services, and JAMS is requesting payment of arbitration fees for each of the 2,200 cases. When checking the JAMS arbitration fee information page , it states that ``Arbitration fees between two parties are $2,000 (approximately 292,000 yen)'' and ``fees paid by employees are $400 (approximately 58,000 yen).'' From, you can see that X needs to pay a fee of $ 1,600 (about 234,000 yen) per person, totaling $ 3.52 million (about 513 million yen).

In addition, regarding the mass dismissal by Mr. Mask, there are many employees who have decided to go to court instead of arbitration, and in July 2023, a class action lawsuit was filed seeking damages of 500 million dollars (approximately 73 billion yen). I am.

Elon Musk faces class action lawsuit for refusing $500 million in severance pay that was supposed to be paid to former Twitter employees - GIGAZINE

in Note, Posted by log1o_hf