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Elon Musk planning to lay off employees before November 1 to avoid paying stock grants to them

Twitter was recently acquired by Elon Musk, and it has already made a few significant choices. The New York Times claimed citing people familiar with the situation that Musk is currently preparing to lay off numerous Twitter employees and has already fired a number of the company’s top executives. The claimed source also reveals that Twitter would conduct layoffs prior to November 1.

Musk, who clinched the $44 billion Twitter transaction, has already requested that managers create lists of team members who are not necessary and can be let go as soon as feasible. On how many employees will be let go, no information is currently available.

It was recently rumoured that after Musk assumes control of the social media network, he will fire 75% of Twitter’s staff. He later stated that he had no such intentions and that the job cuts would not be as severe, denying the rumour.

According to reports, Musk intends to fire workers before November 1 in order to forego giving them the stock grants that are typically included in their pay. However, according to the provisions of the merger deal, Musk is required to pay the employees in ‘cash in place of their stock.’

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