Elon Musk and his social media company X have reached a provisional settlement with thousands of former employees who sued for $500 million in severance pay.
Court filings in San Francisco show both sides have agreed “in principle” and requested time to finalise paperwork before an appeals hearing. Details of the deal remain confidential and must still be approved by the court.
The case, led by former staff member Courtney McMillian, centres on claims that X failed to honour its severance plan after Musk’s 2022 takeover of Twitter, now renamed X.
Around 6,000 staff were laid off, with some saying they received no payout while others were given only a month’s salary, rather than the six months promised.