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May 6, 2022

Twitter employees who don't want to work for Elon Musk risk losing hefty stock and severance pay if they quit

Business Insider

The impending acquisition of Twitter by Elon Musk may cause layoffs or departures, and employees could lose what could be large sums of money. Compensation for laid-off workers who are not at the executive level is being considered, but payments are expected to be relatively meager, an employee says.

Robert Sheridan, a partner at Nelson Mullins focused on employment law, believes that without an additional contract in place, such as that for high-level executives, the most likely outcome for compensation among laid-off workers is a tiered system based on length of employment, service, and salary.

"Usually up to a year, you get two weeks to a month of severance pay. At two years, maybe two months, and so on," Sheridan explains. "The maximum is probably six months of severance for employees with the longest tenure at Twitter," he adds.