Elon Musk’s social media platform X has reached settlements with thousands of former employees who were dismissed after his 2022 takeover. The company had fought with its former workers for years over severance payments, but now it has agreed to settle the cases.
In 2023, a class-action lawsuit was filed against X, arguing that Musk owed his former workers around $500 million in severance payments. X has since settled this case, but the settlement amount remains undisclosed.
The company has also reached agreements with over 2,000 former employees who were fighting for severance payments in arbitration cases. These settlements cover nearly all of the severance payments, including interest.
However, Musk’s legal battle with senior Twitter executives over $128 million in severance payments continues. A representative for X declined to comment on the matter, while lawyers representing the former employees and X did not respond to requests for comment.
Source: https://www.nytimes.com/2025/08/22/technology/elon-musk-x-settlements.html