Elon Musk the new Chief Executive of Twitter denies all the reports regarding firing employees in order to avoid payouts.
As per a Reuters report, Musk responded to a question about layoffs by tweeting, “This is false.”
This is false
— Elon Musk (@elonmusk) October 30, 2022
A report published by the New York Times on Saturday stated that the layoffs would take place before November 1 which is when employees were scheduled to receive a stock grant as part of compensation and by laying off workers Musk can avoid paying grants.
According to media reports on Saturday, Musk fired top executives in an effort to avoid large compensation payments, while also planning additional layoffs for Saturday.
As per media reports, Musk fired Twitter Chief Executive Parag Agrawal, Chief Financial Officer Ned Segal, and legal affairs and policy chief Vijaya Gadde.
He accused them of deceiving him and Twitter investors about the number of fraudulent accounts on the platform.
But the report published by the New York Times states that “Elon Musk terminated four top Twitter executives, including Agrawal and Segal “for cause,” in an apparent effort to avoid severance pay and unvested stock awards.”