Home Business Elon Musk fires 50% of Twitter employees and reports a “huge” drop...

Elon Musk fires 50% of Twitter employees and reports a “huge” drop in revenue

The emails started arriving in Twitter employees’ personal inboxes in prime Friday morning hours: “Today is your last day in company, “the letter said.

As people frantically update their business and personal accounts to find out their fate, new owner Elon Musk has been trying to defend his decision to cut thousands of jobs. He said the company experienced a “huge drop in revenue” due to advertisers escaping from network advertising.

Read more: “The guillotine will reach everyone” .. Why the fear of Elon Musk’s “Twitter” leadership?

It’s been an eventful week for Twitter. Since he took over as president of the company last week, Musk has assembled a team transition of confidants to help identify deep cost cuts and quick ways to increase revenue. Workforce cuts are expected in around the world they will cover 3,700 jobs, about half of the company’s employees.

Some employees in departure said they would receive at least two months’ salary following the dismissal. Elon Musk is also looking for other ways to achieve his goal of cutting spending, according to a report released by “Bloomberg” and seen by “Al Arabiya Net”.

This happens; While the “Wall Street Journal” cited major companies that will monitor Elon Musk’s trends on “Twitter” before returning to advertising on the platform. Some advertisers bring in guard against associating their brands with Twitter during the turbulent time. Audi, Pfizer and General Mills Inc have said they will suspend Twitter advertising until they know how it will evolve.

In his first reaction to the moves, Musk described companies that suspended their Twitter ads as “lobbyists against free speech”.

“Twitter suffered lower revenue due to lobbyists’ influence on advertisers,” said Elon Musk.

Read more: After Musk’s statements, fears of anarchist Twitter speeches may ease

Meanwhile, the remaining employees are competing to develop new tools that can be sold to users to increase revenue. Most interesting is the revised membership program which, among other benefits, will allow anyone to earn a blue badge if they pay $ 8 a month. Currently, the tags are free and are used as a label for the verified accounts of celebrities, politicians, journalists and other public figures to distinguish them from scammers.

Musk took over Twitter with a large amount of debt and the billionaire said they “have to pay their bills”. The hastily organized Blue Badge program, which may come to light as soon as next week, has been greeted with fury by popular Twitter users, as Musk and his team of transition responded with sarcasm. “We appreciate your feedback, now you pay $ 8,” Musk wrote in response to US Representative Alexandria Ocasio-Cortez, who criticized the idea of ​​making people pay in name of “freedom of speech”.

Twitter faces pressing problems, cutting costs and increasing cash flow. Company employees said they lack access to basic tools to monitor and remove political misinformation in the days following Musk’s takeover of the company. Musk has promised civil rights leaders that he will bring back content moderation tools that have been blocked for some employees by the end of this week.

Before Twitter began its mass layoffs, employees filed a class action Thursday in proactive way. They claimed the company was moving too fast to fire them without warning, in violation of federal and California law. When the details of the layoffs were reported on Friday.

Read More About: Business News


Exit mobile version