After acquiring Twitter for $44 billion, Elon Musk is working to make the company profitable by downsizing its workforce. A company-wide email was sent yesterday to start the layoff process on Friday, with firing half its workforce, that’s 3,700 employees. As a result, Twitter is down for most users, Dogecoin price dropped over 7% in the last 24 hours, and Twitter faces a class action lawsuit for mass layoff.
Twitter Is Breaking Amid Elon Musk Plans
A company-wide email was sent on Thursday to notify employees about reducing its global workforce on Friday. Every employee will get an email with the subject line “Your Role at Twitter” by 9 AM PST (9:30 PM IST).
If the employment is “not” impacted, employees will receive a notification through the official Twitter email. However, if the employment is impacted, employees will receive a notification with the next steps in their personal email. Twitter offices will remain closed on Friday during the layoff process.
Meanwhile, users are facing difficulty to access Twitter with many reporting the social media as “down” amid layoff. While some employees are desperate to get laid off and get severance, others seem to disagree with Elon Musk and may file lawsuits.
A class action lawsuit is already filed, with attorney Shannon Liss-Riordan representing the plaintiff. Cornet v. Twitter Inc. was filed in the US District Court for the Northern District of California on Thursday. The lawsuit alleges Twitter for violating the Worker Adjustment and Retraining Notification Act (WARN).
As per a tweet by the California Labor Federation, employers are legally obligated to notify affected employees and state and local representatives 60 days before a mass layoff under the WARN act.
Meanwhile, the U.S. Treasury’s CFIUS is also looking into whether it has the authority to investigate Elon Musk’s $44 billion Twitter acquisition.
Dogecoin (DOGE) Price Continues to Fall
Dogecoin recorded over 100% rally in a week after Elon Musk took over Twitter as interim CEO. However, the DOGE price continues to tumble in the last few days.
At the time of writing, the DOGE price is trading at $0.12, down over 7% in the last 24 hours. Moreover, Dogecoin’s over 100% gains have now reduced to 55%. Meanwhile, the MASK token, speculated to be among the tokens supported on Twitter, is down by 20%.