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Elon Musk threatens to lay off 75% of Twitter employees to get rid of bad press

Elon Musk

Dimitrios Kambouris/Getty Images

Elon Musk‘s offer to own a significant chunk of Twitter has kept the billionaire in his eye as he went back and forth over his plans to buy the social media company. The latest news from the deal is that Elon Musk plans to cut 75 percent of the Twitter workforce once the deal closes or when the deal plays out more similarly.

Musk told potential investors that he wants to oversee the downsizing of the majority of Twitter’s 7,500 employees to reduce it to a skeletal crew. Job cuts have always been on the table for the company, which has had some troubles of late, but what Musk has proposed is more extreme than anyone can imagine.

According to investment analyst Dan Ives, quoted in The Associated Press, “a 75 percent workforce reduction would, at least a priori, indicate stronger free cash flow and profitability, which would be attractive to investors wanting to get into the deal.” He continued continued, “That means you can’t limit yourself to growth.” He is also said to have said that this Kid of Cut would set the company back years.

With such a huge downsizing, it could be nearly impossible to stay on top of issues Twitter is already grappling with, like identifying bots and hate speech in order to remove them from the site. Musk said he will treat her personally when he becomes the owner of the company. The Tesla owner’s attempted takeover of the company stems in part from his criticism of Twitter’s handling of “free speech”. Musk, known for his right-wing tendencies, would likely put the likes of Donald Trump back on the social platform after the latter was banned for inciting the Jan. 6 riots in Washington DC.

That statement could just be an excuse to distract us all from the potential lawsuits that could result if Musk fails to follow through on his promise to buy the company. He spent three months this year trying to pull out of the deal, arguing that the reason he was given was incorrect figures regarding the actual number of bot and spam accounts. Again, this could be a way to hide the truth that he’s struggling to raise the cash to pay the agreed-upon offer of $54.20/share.

Twitter is suing Musk for trying to get out of the deal, with a Delaware judge giving the sides until Oct. 28 to reach an agreement. If no agreement is reached by then, Twitter can sue the billionaire for breach of contract. This promise of a 75 percent job cut might tempt investors that Musk has to raise the money, but it could ultimately be Twitter’s undoing. Failure to complete the acquisition would be Musk’s undoing, however, and with a court case potentially forcing him to open up about his management of SpaceX and Tesla, he could end up losing those too.

https://wegotthiscovered.com/news/elon-musk-threatens-to-cut-75-of-twitters-staff-in-desperate-bid-to-take-eyes-off-bad-press/ Elon Musk threatens to lay off 75% of Twitter employees to get rid of bad press

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