Elon Musk Podcast Musk’s X Corp Agrees to Pay $500 Million in Severance
Aug 22, 2025
A significant $500 million severance settlement has emerged for thousands of former Twitter employees after a lawsuit against Musk's X Corp. The legal battle unfolded due to accusations of labor law violations amid massive layoffs following Musk's acquisition. The analysis dives into the implications of these layoffs on corporate culture and morale, as well as Musk's broader business moves across his various ventures. There's also a light-hearted pitch for an affordable wireless service that grabs attention.
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Acquisition Sparked Major Severance Lawsuit
- Elon Musk's acquisition led to massive layoffs and a legal battle over unpaid severance.
- The company agreed to pay $500 million in settlement to resolve claims about severance promises.
Former Employee Led The Case
- Courtney McMillian led a lawsuit alleging X ignored prior severance agreements after Musk's takeover.
- Thousands of former Twitter employees were affected by reduced exit terms following mass terminations.
Half-Billion Dollar Settlement Reached
- The settlement totals $500 million to cover severance claims from the post-acquisition layoffs.
- It resolves allegations that X violated federal labor laws by refusing promised severance.