X reaches tentative agreement with former employees suing for severance pay

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X, the company previously known as Twitter, has reached a tentative settlement with former employees who had sued for $500 million in severance pay, according to the Associated Press.

The parties disclosed the deal in a Wednesday court filing, which requested that a scheduled Sept. 17 hearing in the case be postponed. The San Francisco federal appeals court agreed Thursday to postpone the hearing so that both sides could finalize the settlement agreement, the terms of which were not disclosed.

According to the proposed class action lawsuit, Twitter failed to pay fired workers the severance they were owed.

Musk took over the social media platform in 2022 and let thousands of employees go, cutting entire teams dedicated to trust and safety, human rights and making the site accessible to people with disabilities.

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Other lawsuits are still pending.

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