X, previously known as Twitter, has settled the outstanding payments with its former staff at the African headquarters, more than a year after their layoffs, according to the agency representing them.
The employees, stationed in Ghana’s capital, Accra, had been with the company for only a few months before being dismissed in November 2022. They had considered legal action against X for not delivering the promised redundancy pay, though the company has remained silent on the matter.
Despite earlier claims from X that it had fully compensated ex-employees, the company, under Elon Musk’s leadership since 2022, faced criticism for a massive global reduction in workforce, terminating over 6,000 positions. Musk cited daily losses of more than $4 million (£3.5m) as a reason. The African team, numbering fewer than 20, had only recently moved to X’s new Accra office after approximately eight months of remote work during the COVID-19 pandemic.
Agency Seven Seven, which provided legal representation to the affected staff, successfully negotiated a redundancy settlement and repatriation funds for foreign employees, though the exact amount has not been disclosed. “They are very pleased to finally receive their due, move past this ordeal, and look forward to the future,” said Carla Olympio from Agency Seven Seven.
The dismissed staff previously told the BBC that their treatment by X had adversely affected their mental health and financial stability, with one noting the difficulty of the world’s richest man owing them money and closure. They recounted being locked out of their email accounts immediately after being told their contracts would terminate but they would be paid for an additional month—a promise that was not kept, leading to a prolonged struggle for compensation.
Some of the employees, who had relocated from countries like Nigeria, found themselves and their families stranded in Ghana following their abrupt termination.
In a rare interview last April, Musk mentioned that the company’s workforce had been reduced to 1,500 from nearly 8,000 employees at the time of his acquisition. Despite Musk’s claim on social media that laid-off workers received three months’ severance, the African office staff reported they did not receive this compensation.
Agency Seven Seven indicated that X only initiated negotiations with the dismissed African staff following media coverage by the BBC. Last year, X faced a lawsuit in a California court from former employees alleging the company refused to pay at least $500 million in promised severance packages.
