Musk’s ax starts on Twitter. The controversial entrepreneur plans to eliminate 3,700 jobs, about half of the social media company’s workforce, in an effort to cut costs.
Affected personnel are expected to be notified on Friday, anonymous sources said Bloomberg. Musk also intends to reverse the company’s existing policy on remote working by requiring remaining employees to report to offices, although some exceptions may be made.
The modalities of the staff cut would be decided by Musk together with a team of consultants. According to anonymous sources, however, the terms of the staff reduction could still change. In the scenario considered, dismissed workers will be offered 60 days of severance pay, two of the sources said.
Previously, Musk himself, in a tweet, had denied an article from the New York Times which stated that he intended to fire Twitter employees before November 1 to avoid the stock grants due that day.
Eight dollars for the “blue check”
The entrepreneur acquired the social network, for a sum of 44 billion dollars, a few days ago, after a long process, and has already made significant cuts in management, including the dismissal of former CEO, Parag Agrawal; other top managers, such as chief commercial officer Sarah Personette, have resigned. His latest initiative, also communicated via Twitter, is to provide an annual fee of $ 8 in the near future for Twitter users who want to have the “blue check”, or a verified account.
Concerned advertisers: L’Oréal suspends advertising
The cost-cutting measures come as Musk addresses concerns from advertisers, the source of most of Twitter’s revenue, who fear his plans to loosen content moderation rules on the platform, another of Musk’s first initiatives. wants to carry on on social chirp, will likely lead to an increase in inappropriate content.
L’Oréal has decided to suspend advertising on the platform, while Interpublic, one of the largest advertising groups in the world, has recommended its clients to suspend advertising investments on Twitter for the next week, the financial information site reported. Morning Brew.