Elon Musk and X Corp. Win $500M Severance Lawsuit Over Layoff of 6,000 Employees

Jul 10, 2024, 03:45 AM

Elon Musk and X Corp. have successfully defended against a $500 million severance lawsuit related to the mass layoff of 6,000 employees following Musk's acquisition of Twitter in October 2022. The lawsuit claimed that under the Employee Retirement Income Security Act (ERISA), the laid-off employees were owed $500 million in severance pay, alleging they only received one month's severance. US District Judge Trina Thompson ruled in favor of Musk and X Corp., dismissing the claims.