The social media company X, formerly known as Twitter, has settled with its former employees in Ghana, who were laid off in November 2022 following the takeover by billionaire Elon Musk. The deal, which was announced by the legal firm representing the affected staff, ended a year-long negotiation process that involved the Ghanaian employment ministry.
The staff, who were part of X’s only office in Africa, had threatened to sue the company for failing to pay them the severance packages they claimed they were entitled to. They also demanded repatriation expenses for foreign staff who had relocated to Ghana to work for the company.
According to Agency Seven Seven, the Accra-based firm that handled the case, the settlement was satisfactory and fair for the former employees, who were relieved to put the matter behind them and look to the future. The firm did not disclose the amount of the settlement, citing confidentiality agreements.
The case drew attention to the plight of thousands of X staff around the world who were fired or walked out after Musk acquired the company for $44 billion in October 2022. Musk, who said he was losing more than $4 million a day, embarked on a radical restructuring of the company, slashing its workforce from nearly 8,000 to 1,500 and changing its name to X.
The former Twitter staff in Ghana had only been on the job for a few months when they received the termination letters, which offered them a month’s notice plus two months’ severance pay. This was below the three-month severance pay that Musk had tweeted about in November 2022. The staff also said they were locked out of their emails and denied access to their work equipment.
Some of the staff had moved from neighboring countries, such as Nigeria, to join the company, which opened its Africa office in Accra in April 2021. The move was hailed by Ghanaian President Nana Akufo-Addo as “the beginning of a beautiful relationship between Twitter and Ghana.” Jack Dorsey, who was the CEO of Twitter at the time, had also expressed his intention to move to Ghana “at some point.”
However, the relationship turned sour after Musk took over and decided to shut down the Africa office, which had been seen as part of Twitter’s future. The former employees said they felt betrayed and abandoned by the company, which had promised them a long-term career and a positive impact on the continent.
The settlement with X is a rare victory for the sacked staff, who had faced difficulties in getting their dues from the world’s richest man. Last year, X was sued by ex-employees in a California court for allegedly refusing to pay at least $500 million in promised severance packages. The outcome of that lawsuit is not yet known.
Source: Yahoo
