Twitter is being sued for refusing to participate in arbitration with former employees terminated after Elon Musk bought the company.
The social media giant is accused of pushing them to use that process to address issues related to unpaid wages, promised severance packages, and discrimination claims
The company, now known as X Corp, has faced multiple labor and workplace violations lawsuits.
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It includes failing to pay thousands of workers laid off following Musk’s acquisition.
Approximately 2,000 former Twitter employees have resorted to pursuing their claims through arbitration as demanded by the company.
However, Twitter has reportedly failed to appear for these arbitration hearings, as stated in a complaint filed in federal court in San Francisco.
Shannon Liss-Riordan, the attorney representing the former Twitter employees, has continued to file arbitration claims.
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She has received calls from current employees seeking to file their claims regarding unpaid bonuses from the previous year.
In January, Twitter won a ruling requiring employees who had signed arbitration agreements to resolve their grievances through closed-door hearings overseen by private judges rather than pursuing class-action lawsuits in open court.
This often puts employees at a disadvantage, as studies have shown that many people are more likely to give up rather than continue the fight in arbitration.
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According to Liss-Riordan, Twitter is now refusing to participate in arbitration due to the realization of the potential costs associated with these claims, as mandated by its employment agreements.
She said: “Now that it has made its bed, it doesn’t want to lie in it.”
Liss-Riordan represents Twitter workers in several lawsuits against the company.
In November, Musk initiated mass layoffs at Twitter, terminating approximately half of the company’s 7,500 employees.
The layoffs reportedly continued into 2023, bringing the company’s total headcount to under 2,000.
