The former employees of social media platform, X (previously known as Twitter), who had been fired by its owner Elon Musk, have asked a San Francisco court to postpone a hearing scheduled for September 17 in what may be a precursor to a tentative settlement in a lawsuit.
The parties disclosed in a federal appeals court filing that a deal had been reached, although its terms were not made public. On Thursday, the court agreed to a postponement of the upcoming hearing next month so that both sides could finalise a settlement agreement.
The proposed class action lawsuit of $500 million was filed by former Twitter employees, Courtney McMillan and Ronald Cooper, who said the company failed to pay them and other fired workers severance they were owed when Musk took over the platform in 2022 and fired thousands of employees.
He had let go of entire teams dedicated to trust and safety, human rights and making the site accessible to people with disabilities.
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Musk also faces other lawsuits, including one filed by Twitter executives including former CEO Parag Agrawal, which are still pending.
The billionaire's mass firing mirrored US President Donald Trump’s approach when he was elected as the country’s President for the second term in January, 2025.
With Musk as the leader of Trump’s Department of Government Efficiency, or DOGE, an email titled, ‘For in the Road’, was sent to federal workers announcing a “deferred resignation offer” and promising pay through September without having to work.
Like Musk, the Trump administration also faces court battles over federal downsizing, even while the two former friends have since parted ways.
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