Elon Musk plans mass Twitter layoffs today to deny staff stock grants

According to a rumor, Elon Musk is considering terminating a big number of Twitter employees on Saturday in order to prevent them from obtaining their stock grants on November 1.

Musk, 51, acquired control of Twitter on Thursday after a contentious $44 billion transaction was finalized.

He promptly sacked the CEO, CFO, head of legal affairs, and general counsel.

Musk has stated that he intends to streamline the company and make it profitable, and since his takeover was announced in April, employees have prepared for job cuts.

In a filing with the Securities and Exchange Commission on April 14, Musk stated that he lacked confidence in Twitter’s management and initially threatened to lay off 75 percent of the workers when he legally acquired the digital behemoth.

The New York Times reported on Saturday that the layoffs could occur soon, in part to avoid the November 1 deadline.

On November 1, employees will get shares, which will constitute a significant portion of their annual income for many.

According to the article, Musk might avoid providing the grants if the staff is let go before the deadline.

According to four individuals, certain managers have been tasked with compiling names of employees to be let go as Musk attempts to reduce the present staff of 7,500.

Musk did not tweet about his goals on Saturday, but rather praised the glories of bread, pastry, and carbohydrates.

“Finally, the reality that carbohydrates are great can be stated on this platform!” #FreeSpeech,’ he tweeted.

He added the hashtag #SoBrave.

Musk is understood to have ordered the company-wide layoffs, with some teams being impacted harder than others, according to three sources.

It was unclear how many employees would be laid off.

Just one day prior to being fired by Musk, Twitter attorney Vijaya Gadde was photographed glaring at her new boss during an awkward encounter with other employees at the HQ coffee bar.

Gadde, who was widely regarded as Twitter’s “head of censoring,” had been loud in her disapproval of Musk; she cried during a meeting in April after he originally declared plans to acquire the company.

She was a prominent Democrat fundraiser who was responsible for the decision to remove links to a New York Post article regarding Hunter Biden’s incriminating laptop prior to the 2020 election.

Musk has criticized her decision in public.

On Wednesday, she was seen with Musk and others at the Twitter headquarters coffee bar.

The following day, she was terminated alongside the CEO and CFO.

A total of $72 million in stocks she owned, salary and perks, and equities that had not yet vested during her tenure but are now paid out as part of the settlement.

According to MarketWatch, Gadde, Agrawal, and Segal receive a total golden parachute of $204 million; Agrawal receives $66 million and Segal receives $65 million.

Musk has not yet nominated their successors publicly, but he is anticipated to serve as interim CEO at least temporarily.

Friday also marked the return of Musk’s pal Kanye West to Twitter following his suspension for a string of anti-Semitic social media comments.

TWITTER’S HEAD OF CENSORSHIP: LAWYER WHO BANNED TRUMP &  DONATED $16,000 TO THE DEMOCRATS

Vijaya Gadde had been a low-key Silicon Valley power figure for years, and she was instrumental in Twitter’s controversial choices to ban Donald Trump and censor news items concerning Hunter Biden’s laptop.

Gadde and her family encountered bigotry while she grew up in Beaumont, Texas, where she claims her father had to get permission from the Ku Klux Klan to sell door-to-door insurance.

According to federal records, she has also contributed routinely to Democratic candidates, contributing more than $18,000 over the past two decades and most recently providing $2,700 to Kamala Harris in 2019.

As Twitter’s senior legal officer and general counsel, Gadde wields immense power at the firm, where she has long held virtually final authority over who is permitted on the network and what they can tweet.

Gadde once stated in an interview with Bloomberg that former Twitter CEO Jack Dorsey delegated the formulation and implementation of content restrictions to her.

He rarely weighs in on specific enforcement decisions, according to Gadde. “I cannot even recall a period when. Typically, I go to him and explain what will transpire.

Gadde’s power has placed her at the center of some of Twitter’s most contentious moderation decisions, such as the decision to permanently ban Trump after his supporters stormed the US Capitol in January 2021.

She also endorsed Twitter’s decision to prohibit the posting of links to a New York Post article based on files from Hunter Biden’s abandoned laptop prior to the 2020 presidential election.

As Musk hurried them out last night, he instructed Tesla engineers to report to headquarters today to begin updating the coding for the website.

He intends to provide a ‘edit’ option for all users and open source algorithms to boost the openness of how users’ data is used to propose content to them.

He also intends to reinstate President Trump’s access to the site.

Trump applauded his takeover, writing on his own social networking site Truth Social on Friday. ‘TRUTH SOCIAL has become a phenomenon of sorts.

Last week, it had more users than every other platform, including TikTok, Twitter, and Facebook.

It also appears and functions better to my eyes. I am ecstatic that Twitter is now in sensible hands and will no longer be managed by anti-American radical left-wing lunatics and crazies.

Twitter must now work diligently to eliminate the bots and false accounts that have caused it so much harm.

It will be somewhat smaller, but superior. I LOVE TRUTH!’

Conservative figures who were previously barred from the podium now believe that his commitment to free speech will let them to return.

Donald Trump, Roger Stone, Alex Jones, Steve Bannon, and U.S. Representative Marjorie Taylor Greene are among the prominent individuals who have been banned from Twitter.

Former head of global public policy, Colin Crowell, is among several who have criticized his proposals as risky.

He left Twitter in 2019, far before Musk had any plans for the site, but he told The New York Times: ‘It’s a ‘back-to-the-future’ return to content guidelines from 2010, but one that disregards the lived experience of the last decade.

People soon recognize that the Wild West requires a sheriff, both to ensure the safety of its residents and to improve its commercial prospects.

The price of Twitter shares has increased significantly over the week in anticipation of the acquisition, although trading will cease on Friday on the NYSE.

Musk intends to take the company private, a move that will shelter him from some of the regulation and red tape he suffers as the CEO of a publicly traded company.

Former top Twitter attorney Gadde, who earned $17 million in 2021, was reportedly in tears as news of Musk’s takeover broke in April. Insider reported that she has already been compensated $12.5 million for her difficulties.

Ex-CFO Segal, who was responsible for Mr. Trump’s Twitter ban, also received $25.4 million after being dismissed by Musk on Thursday night.

In addition, former CCO Sarah Personette received $11.2 million as part of Musk’s estate sale.

Despite Musk’s clear satisfaction with the agreement that will go down in history, several experts assert that he “overpaid” for the platform.

Wedbush Securities analyst Dan Ives told the US Sun that the sale “will go down in history as one of the most overvalued tech acquisitions in the annals of M&A deals on Wall Street.”

Ives, who works for a Los Angeles-based financial firm, estimates the company’s valuation to be closer to $25 billion than $44 billion.

“With a reasonable value that we would estimate to be around $25 billion, Musk’s purchase of Twitter remains a big mystery that he was eventually unable to escape after the Delaware Courts were involved,” he said.

In anticipation of the South African’s acquisition of the social media company, the market responded favorably, with share prices clearly rising.

They increased by 7.23 percent over the past five days and were up approximately 1 percent at $53.94 on Wednesday morning.

In July, the stock price reached its lowest point in four months. Since then, the share price has increased by around 65 percent.

However, the New York Stock Exchange website indicated that Twitter shares would be stopped from trade following Musk’s acquisition.

The South African publicly challenged Twitter’s current leadership team, specifically their content moderation and censorship policies. He has also argued with them about data on the number of bot or spam accounts.

This agreement closes at the eleventh hour, just one day before Musk was to be dragged back into court by Twitter over a back-and-forth he had regarding whether he would purchase the firm.

Wednesday, the billionaire updated his Twitter profile to describe himself as “Chief Twit” and shared a video of himself lugging a porcelain sink into the company’s headquarters in San Francisco.

This encouraged rumors that Musk had acquired Twitter, since he released a video with the description, “Entering Twitter HQ, let that sink in.”

Agrawal, who took over from founder Jack Dorsey about a year ago, and Musk have been at odds over the number of authentic Twitter users, with Musk reacting to one of Agrawal’s threads in May with a ‘poop’ emoji.

When Musk launched his initial takeover proposal in April, he claimed he had not been provided with proper information regarding spam accounts and bots.

Musk withdrew his proposal after three months, claiming he had been deceived about the size of the company.

Twitter has stated for years that less than 5 percent of its’monetizable daily active users’ are bots (mDAU).

The fired five: Musk culls Twitter’s top executive staff members within hours of taking control of the company

Parag Agrawal, 38

  • Chief Executive Officer since 2021
  • 2021 compensation: $30.4 million

Agrawal succeeded Jack Dorsey as CEO when he resigned in November 2021.

Musk has said that the social media platform exaggerates the number of its members and minimizes the amount of spam accounts, fakes, and bots.

Musk was angered by Agrawal’s assertion that just about 5 percent of Twitter accounts were bots. Musk reacted with a ‘poop’ emoji to Agrawal’s long description of their calculations.

Additionally, they clashed in private.

According to records published in the legal dispute between the billionaire and the social network, they exchanged text conversations that suggested a falling out.

On April 26, Dorsey, Musk, and Agrawal attended a Google Hangout to discuss the takeover; however, the session was not productive.

At least it has become obvious that you cannot work together. That was elucidating,’ said Dorsey.

Ned Segal, 48

  • Chief Financial Officer since 2017
  • 2021 compensation: $18.9 million

In February 2021, Segal revealed that the ban on Donald Trump on Twitter was permanent.

Musk stated that the choice was incorrect, and he plans to change it.

According to our regulations, when you are removed from the platform, you are removed from the site, regardless of whether you are a commentator, a CFO, or a past or current public official, he told CNBC.

Remember, our regulations are established to ensure that no one incites violence, and if someone violates them, we must remove them from the service and our policies prohibit their return.

Segal certainly irritated Musk with his cautious approach to finance, especially his November declaration that he did not believe investing in cryptocurrencies was a prudent step for Twitter.

Musk is a well-known cryptocurrency enthusiast that supports Doegecoin.

Segal told The Wall Street Journal that investing Twitter’s corporate funds in cryptocurrencies such as bitcoin ‘doesn’t make sense at the moment.’

Vijaya Gadde, 48

  • Head of Legal Policy since 2011
  • 2021 compensation: $17 million

As Twitter’s’moral compass,’ Gadde fervently defended Twitter’s function as a censor and arbiter. She was long believed to be one of the first employees sacked by Musk.

In October 2019, she conceived the idea to halt political advertising on the site, and just before the election, she was instrumental in the decision to suspend The New York Post’s account when it reported on Hunter Biden’s laptop. Twitter said it had breached a corporate policy against the promotion of hacked content; critics were incensed by the firm’s heavy-handed response, and Twitter eventually issued an apology.

In January 2021, Gadde called then-CEO Jack Dorsey, who was on vacation in Hawaii, to advise him that Donald Trump had been banned for breaking laws prohibiting inciting violence.

Sean Edgett

  • General Counsel since 2017
  • 2021 compensation: unclear

Edgett, a close associate of Gadde, emailed employees last week to inform them that there were no plans for mass layoffs, a move that may have angered Musk in light of the imminent takeover.

Edgett stated, “Please be aware that there will continue to be a tremendous deal of public gossip and conjecture as we approach closer to concluding the sale.”

First, we have no confirmation of the buyer’s post-closing plans and recommend avoiding rumors and leaked documents in favor of awaiting information straight from us and the buyer.

Earlier in the year, there were ‘specific cost-cutting discussions and plans,’ according to Edgett, but those discussions ceased when Twitter and Musk reached an agreement. Since then, no company-wide layoffs have been planned, he said.

Earlier this year, he also advised employees against discussing Musk’s candidacy on social media.

A Twitter whistleblower claimed that company executives instructed him to destroy documents.

Musk seized Peiter Zatko, the former head of security who was ousted in January, as an ally in his quest to unravel the enigma surrounding Twitter’s user counts.

Agrawal and Edgett characterized Zatko’s allegation that Twitter lied about its security measures and violated a 2011 agreement with the Federal Trade Commission as untrue.

Edgett stated, “We have never committed a substantial deception to a regulator, to our board, or to any of you.” We are in complete accordance with our FTC consent agreement.

Sarah Personette 

Personette was the chief customer officer for Twitter until her dismissal on October 26.

Former CCO Personette received $11.2 million as part of Musk’s estate sale.

A day before to her dismissal, she tweeted, “Had a terrific conversation with Elon Musk last night! Our commitment to brand protection for advertising has not changed. Positively anticipating the future!