Because of Elon Musk's preferences for reducing staff and other expenditures, eliminating content control, and prohibiting remote work, Twitter employees have expressed widespread fear about his taking over the company.
Twitter assured on Wednesday that it is not considering mass layoffs but could likely keep reorganizing the company.
The announcement follows Twitter's lawsuit against the Tesla CEO for breaching the terms of their $44 billion purchase agreement, and their request to a Delaware court to compel the world's richest man to consummate the merger at the agreed-upon $54.20 per Twitter share.
According to a court document, Twitter Inc. asked a Delaware court to schedule a four-day trial on Musk's attempt to terminate the $44 billion acquisition bid for the social media platform for mid-September.
Musk was accused of "refusing to honor his duties" in a complaint submitted by Twitter lawyers on Tuesday in the Chancery Court of Delaware, where Twitter is headquartered.
Twitter also stated on Wednesday that Musk submitted a formal request in June to approve two customized staff retention initiatives, but he still hasn't given his approval.
When contacted through Tesla, Musk did not immediately react to a request for comment.
Because of Musk's preferences for reducing staff and other expenditures, eliminating content control, and prohibiting remote work, Twitter employees have expressed widespread fear about his taking over the company.
Musk's views on reducing headcount and other costs, reducing content control, and restricting remote work have caused considerable fear among Twitter employees about his taking over the firm.
The business announced in May that it would stop hiring while it reviewed all open positions to see whether any "should be pulled back."
In a letter, Musk withdrew from the agreement, accusing Twitter of choosing to dismiss important executives and carry out layoffs without his approval, lying to him and the SEC about the number of "bots" or spam accounts on the network, and refusing to give "useable" user data.
Each of them allegedly indicates a "breach" of the contract, according to Musk's attorneys. As a result, he is free to terminate the agreement without even having to pay the $1 billion termination fee that is set forth in it.
Twitter pushed back against all of those arguments, calling them "pretexts" that "lack any merit," saying the merger agreement Musk signed in April is not only "binding" and he legally must carry out the deal as agreed, but he is only trying to back out now "because it no longer serves his personal interests."
