Elon Musk is being sued for failing to obey the WARN Act with his massive layoffs. Adrienne Lawrence breaks it down on Rebel HQ.
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It's part of its Revenue part of it is Payment authentication and so if Somebody uh because there is a huge Problem with Spam and and Bots and Trolls on on Twitter and organizations Trying to manipulate a public opinion But but if we can get enough verified Users and we're going to prioritize Um Twitter research replies mentions By verified users first In the wake of mass layouts last week Twitter employees preemptively sued Elon Musk for failing to provide sufficient Notice that he'd be slashing half of Their Workforce Now that lawsuit looked Good but it may not be a winner welcome Into tyt's overruled I'm your legal Analyst Adrian Lawrence after Elon Musk Gave less than 24 hours notice that he'd Be laying off nearly 3 700 employees of Twitter on Friday seasoned labor Attorney Shannon Liz Riordan filed a Preemptive class action Thursday night On behalf of Twitter employees per Bloomberg law Liz Riordan's lawsuit Asked the court to issue an order Requiring Twitter to obey the Warren act And restricting the company from Soliciting employees to sign documents That could give up their right to Participate in litigation the Warren act Or the worker adjustment and retaining Notification act generally requires Large employers to provide at least 60
Days of advance notice for Mass layoffs Now some states require more time such As New York which mandates at least 90 Days notice now this gives employees Time to look for other jobs so that Doesn't shock the workforce by Inundating it with a host of unemployed People looking for work all at once now What's the penalty for failing to abide By the warn act well at least 60 days of Pay and benefits plus civil fines of up To 500 a day for each violation even so Sometimes employers are willing to go Ahead and skirt the law because the Civil penalties may be less than the Cost of keeping those employees on the Payroll now it doesn't seem that musk is Among those employers here let's talk About why there's no dispute that musk Did not give 60 days notice before Laying off half of Twitter's Workforce He had an unsigned email sent around Thursday night saying that employees Would find out whether they were still Employed by way of an email sent by 9 A.M Pacific Friday morning the thing About it is that he's keeping them on The payroll after all that's better Known as payment in lieu of notice the Laid off employees will remain employees Of the company for at least the next 60 Days and if they sign an agreement well They're going to be waiving claims and Receiving a severance now permanent
Terminations are expected to start in January of 2023 by keeping these Employees on the payroll the Friday Layoff effectively was noticed under the Warrant act in fact on Friday Twitter Sent letters to California State Regulators showing that it was indeed Complying with the warn act upon Learning about Twitter's plans well Attorney Liz Raritan who also represents Tesla employees against musk said this I'm pleased that Elon Musk learned Something from the lawsuit we brought Against him at Tesla she said in an Email we filed this case preemptively to Make sure a repeat of that violation did Not happen altogether it's unlikely that The class action will survive that is Assuming that musk does not violate the Warn acts by terminating the employment Of any of the Twitter employees that Were laid off still the 44 billion Dollar bad deal isn't really going well For the world's richest man in fact it's Going embarrassingly bad but that is Something that I'm going to cover in a Whole separate edition of overruled In The meantime how long do you think it Will be until what breaks some laws in Some way when it comes to management of Twitter do you think that what it'll be Tweets that affect the stock market nor May be manipulative or maybe sexual Harassment involving some subordinate or
Perhaps discrimination based on race or Ethnicity all things that Tesla has been Sued over in recent years Well I don't know what the thoughts are But I'd love to know yours go ahead and Hit me up in the comments below hit that Like and follow button and thanks for Watching