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Twitter Layoffs: US court orders ex-workers to pursue claims individually, class-action lawsuit decision pending

The San Francisco court has yet to rule on whether the entire class-action lawsuit against Twitter must be dismissed.

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Twitter has recently secured a ruling in court that allows the social media company to force several former employees, who are suing over their termination, to pursue their claims through individual arbitration rather than a class-action lawsuit. US District Judge James Donato ruled that five ex-Twitter employees who were pursuing a proposed class action accusing the company of failing to give adequate notice before laying them off, following its acquisition by Elon Musk, must pursue their claims in private arbitration. The judge based this decision on agreements that the employees had signed with the company.

Twitter did not immediately respond to a request for comment. The San Francisco judge left for another day "as warranted by developments in the case" whether the entire class action lawsuit must be dismissed. However, he did note that three other former Twitter employees who alleged that they had opted out of the company's arbitration agreement have joined the lawsuit after it was first filed.

The lawyer who represents the plaintiffs, Shannon Liss-Riordan, said that she had already filed 300 demands for arbitration on behalf of former Twitter employees and would likely file hundreds more. These workers all claim that they have not received the full severance package that was promised by Twitter before Musk took over. Some have also alleged sex or disability discrimination.

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Last year, Donato had ruled that Twitter must notify the thousands of workers who were laid off after its acquisition by Musk, following a proposed class action accusing the company of failing to give adequate notice before terminating them. The judge said that before asking workers to sign severance agreements waiving their ability to sue the company, Twitter must give them "a succinct and plainly worded notice". Twitter laid off roughly 3,700 employees in early November as a cost-cutting measure by Musk and hundreds more subsequently resigned.

In December last year, Twitter was also accused by dozens of former employees of various legal violations stemming from Musk's takeover of the company, including targeting women for layoffs and failing to pay promised severance. Additionally, Twitter is also facing at least three complaints filed with a U.S. labour board claiming workers were fired for criticizing the company, attempting to organize a strike, and other conduct protected by federal labour law.

 (With inputs from Reuters)

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