Twitter employees have sued the social media giant for refusing to pay the 2022 bonuses. The employees claim that Twitter had promised to pay 50% of their target amounts. Over ten millions of dollars are involved in the concerning law suit.
The lawsuit that is filed in San Francisco federal court has highlighted that Twitter has a cash performance bonus plan that is paid out annually. In the months leading up to Elon Musk’s acquisition of the company in October its executives including former chief financial officer Ned Segal “repeatedly” promised employees that 50% of their 2022 bonus would be paid.
The lawsuit is seeking class action status on behalf of current and former employees. “Twitter refused to pay employees who remained employed by the company in the first quarter of 2023 any bonus,” the employees said.
Mark Shobinger who was Twitter’s senior director of compensation until late last month, filed the lawsuit. As per the suit, his job entailed overseeing executive and incentive pay and in November expanded his responsibilities to include employee compensation globally.