According to Fortune media, X, Elon Musk’s company, has been ordered to compensate a former employee of its Irish subsidiary for unfair dismissal. The social networking platform, formerly known as Twitter, will have to pay more than $602,640 to the former employee, the Irish Industrial Relations Commission, the state body in charge of resolving labor disputes, said Tuesday. According to Irish broadcaster RTE, this amount is the largest the body has awarded to date.
Gary Rooney, who held a senior position in the procurement department at the time of his dismissal in December 2022, had been employed at the company since September 2013. The Commission heard that the social media platform alleged that the employee had voluntarily resigned after failing to tick a box in an email from new owner Elon Musk, committing to new employment arrangements that were unspecified.
Elon Musk asked for ‘high-intensity’ work
Rooney was one of thousands of Twitter employees who got an email from Musk asking them to commit to staying with the company, working long hours at “high intensity” during its transformation process, or accept a severance package. Employees were given a one-day deadline to click “yes” and agree to terms of employment that were not spelled out.
The commission dismissed X’s argument that Rooney had voluntarily resigned and determined that the failure to click “yes” in response to the email did not constitute a resignation.
Barry Kenny, a lawyer for the plaintiff, told Bloomberg, “It is not appropriate for Mr. Musk, or any large company, to treat employees in this manner in this country or jurisdiction. The sentence reflects the seriousness and gravity of the case.”
The dispute originated in Dublin following the acquisition of the platform by billionaire Musk at the end of 2022. Prior to the purchase, the Irish capital was home to around 500 employees, but has since experienced a global exodus of staff from the company.
In its 73-page ruling, the WRC stated that the emails were sent “during a period of rapid change at Twitter and against a backdrop of inconsistent, contradictory and confusing communications by the defendant regarding Mr. Musk’s acquisition of the company.” X did not immediately respond to a request for comment. The company has 42 days to file an appeal with the Labor Court.