In a recent lawsuit, Twitter is facing allegations of refusing to engage in arbitration with former employees who were laid off during Elon Musk’s takeover of the company.
This is despite the company initially encouraging them to use the arbitration process to address their concerns regarding unpaid wages, unmet severance obligations, and discrimination.
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The company, now known as X Corp., has been confronted with multiple lawsuits accusing it of various labor and workplace violations.
These included the failure to compensate numerous workers who were laid off after Musk’s acquisition in the latter part of the previous year.
Around 2,000 former Twitter employees have resorted to pursuing their claims through arbitration, as demanded by the company.
This is according to the complaint filed in San Francisco federal court on Monday. However, Twitter has failed to participate in these proceedings.
In January, Twitter obtained a ruling that compelled employees who had agreed to arbitration to resolve their disputes through closed-door hearings overseen by private judges, rather than pursuing class-action lawsuits in a public court.
This legal approach is akin to engaging in a battle without sufficient resources and financial support, often against a more powerful opponent.
From studies, it has been revealed that companies benefit from this approach as employees frequently opt to abandon their fight rather than continue with arbitration.
Shannon Liss-Riordan, a lawyer representing former Twitter employees in multiple lawsuits against the company, has been initiating arbitration on behalf of individual workers.
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According to the complaint, Twitter is refusing to bear the costs associated with the arbitrations, as required by its employment agreements.
The complaint argues that this refusal demonstrates Twitter’s “failure, neglect, and refusal to arbitrate under its own written agreement,” inflicting further harm on its former employees.
