Several social media giant Twitter employees have taken legal action against the company, claiming that it failed to deliver on its promise to pay out bonuses promised to them in 2022. According to the lawsuit filed as a proposed class-action complaint, Twitter’s management, including executives such as former finance chief Ned Segal “repeatedly assured” employees that they would receive at least half their bonuses last year.
However, the lawsuit claims that in the months leading up to billionaire Elon Musk’s acquisition of the company in October, Twitter reneged on those promises. The plaintiffs also claim that they turned down other companies’ offers because they relied on the promised bonus payments.
The lawsuit is being spearheaded by Mark Shobinger, who was Twitter’s senior director of compensation until he left the company earlier this month. His role initially involved overseeing executive and incentive pay, but in November, he expanded his responsibilities to include global employee compensation. The lawsuit accuses Twitter of breach of contract and promissory estoppel.
According to the suit, the lead plaintiff is seeking tens of millions in incentives. The case is currently pending in federal court in San Francisco. Meanwhile, Twitter has been sued multiple times since its takeover by Musk for allegedly not paying bills, including rent, and by former employees seeking severance and back pay. The company has since dismantled its public relations department and doesn’t respond to inquiries for comment.
