One week after the billionaire businessman took over Twitter, Elon Musk has started reducing the number of people working for the company.
A message sent to staff Thursday by the big tech giant informed the more than 7,500 employees that they would know whether or not they would be let go by 9 am Friday morning.
According to the email, the company was moving “to place Twitter on a healthy path,” saying “We recognize that this will impact a number of individuals who have made valuable contributions to Twitter, but this action is unfortunately necessary to ensure the company’s success moving forward.”
By Thursday night, a number of Twitter employees indicated that they lost access to their company email accounts with some taking to Twitter to announce they have been laid off.
Twitter temporarily closed their offices to ‘ensure the safety of employees.’
Some predict that more than half of the employees will be laid off.
Musk has previously pointed out that he believes there are too many managers at the company and not enough programmers tweeting,
“There seem to be 10 people ‘managing’ for every one person coding.”
Musk also said he was concerned about the company’s revenue, because Twitter has lost money in eight of the last 10 fiscal years, according to FactSet.
The first people Musk fired after closing the deal was Chief Executive Parag Agrawal and three other top executives. They were fired for cause, and according to a report, so Musk isn’t required to pay them multimillion-dollar severance packages.
A small group of employees have filed a lawsuit against Musk saying the company did not provide enough warning of the layoffs which they say is a violation of federal and California law.
Twitter, along with the entire social-media industry, is suffering due in part to the skyrocketing inflation which started to spike when Joe Biden took office.
