August 17th, 2024

X to pay €550k to employee fired for not replying to yes-or-resign ultimatum

Elon Musk's company X must pay €550,000 to former employee Gary Rooney for unfair dismissal, marking the largest compensation by Ireland's Workplace Relations Commission amid ongoing legal disputes post-acquisition.

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X to pay €550k to employee fired for not replying to yes-or-resign ultimatum

Elon Musk's company X (formerly Twitter) has been ordered to pay €550,000 (approximately $602,640) to a former employee, Gary Rooney, following an unfair dismissal case. The ruling by Ireland's Workplace Relations Commission (WRC) marks the largest compensation awarded by the agency to date. Rooney, who was in a senior procurement role and had been with the company since 2013, was dismissed in December 2022 after he did not respond to an email from Musk that required employees to either commit to new working conditions or resign. The WRC found that Rooney did not resign voluntarily, stating that failing to click "yes" on the email did not equate to resignation. The Commission criticized Musk's approach, emphasizing that such treatment of employees is unacceptable. This case is part of a broader trend of legal disputes following Musk's acquisition of the platform, which has seen numerous allegations regarding severance benefits and employee treatment. The WRC's ruling highlighted the chaotic communication environment during the transition of ownership. X has the option to appeal the decision within 42 days.

- X has been ordered to pay €550,000 to a former employee for unfair dismissal.

- The ruling is the largest compensation awarded by Ireland's Workplace Relations Commission.

- The employee was dismissed for not responding to an ultimatum email from Elon Musk.

- The Commission ruled that not clicking "yes" did not constitute resignation.

- This case is part of ongoing legal issues following Musk's acquisition of Twitter.

Link Icon 18 comments
By @singingwolfboy - 2 months
By @fsloth - 2 months
Would this be legal in any jurisdiction (click-or-be-fired)? I am not familiar with US labour laws, are employees actually at the level of indentured servants considering terms of employment (which I would expect to be a contract between TWO parties)?
By @netcan - 2 months
Fwiw...

As a tendency, Irish labour courts tends to find in favour of employees... but also tend to award relatively small compensation.

A headline making award is pretty rare. Judge must not be a Twitter fan.

By @asah - 2 months
Good luck collecting: X is notorious for stiffing on debts.
By @tropicalfruit - 2 months
it's surprising how often saying nothing works out well.
By @thor-rodrigues - 2 months
I am glad to hear that workers rights are being enforced in Europe.

As an employee in Germany, it sounds deranged to receive an email saying I have one day to completely change my work contract, or be fired from my job.

By @hyperman1 - 2 months
If this is allowed, the concept of a contract is meaningless, as all terms change whenever one party feels like it.

So Musk feels to be above contract law. The whole basis for law based commerce goes out of the window. Musk's world view is incredibly dangerous for a law based country.

This means €550k is a way to low number as punishment. It might be enough as restitution for the employee, but an additional, much stronger and personal punishment should be given to anyone who agreed with this way of working.

By @maxehmookau - 2 months
Good. The richest man in the world doesn't get to be above the law on account of being rich.

If you own a company, that comes with responsibility and if you shirk those responsibilities the law will come for you; as it should.

By @thih9 - 2 months
This employer behavior is a result of the business model of collecting a critical mass of the users and later cutting operation costs.

It's viable because Twitter/X controls the access to the audiences of their users - if you leave, you lose your network.

I'd like next gen social media platforms to allow transitions from one provider to another. While related, I think this is a different topic than centralized/federated.

By @CamelCaseName - 2 months
I think this is one of the very few times I've seen Elon Musk's companies lose a lawsuit.

With all the jockeying in the US, I wonder if this is a sign of more, meaningful, legal trouble to come.

By @benreesman - 2 months
It’s really hard to know what to think about Elon Musk these days. At a surface level he’s acting a real asshole in a bunch of ways, but he’s surprised us with some seriously useful stuff on a number of occasions and so I’m always still hoping that there’s got to be a method to the madness.

I sure hope there is because the guy is in the running for most powerful man in history.