Twitter Reportedly Says Employees Might Only Get Half Their Annual Bonus After Losing Value Over Elon Musk
According to Twitter, the company is coping with economic uncertainties, which could affect staff bonuses.
The New York Times reports that employees were informed on Friday that they might only get half of their regular annual bonuses.
Revenue fell for the first time since 2020 in the corporation’s most recent quarterly results report, and the company switched to a net loss.
Elon Musk is fighting Twitter in court to finalize his $44 billion acquisition of the firm.
Due to the ambiguity surrounding Musk’s acquisition and its potential effects on the company’s future, advertisers appear to be adopting a wait-and-see attitude.
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The majority of Twitter’s income comes from advertising, which has been hampered by concerns about the impact of the war in Ukraine on the economy.
In April, Musk agreed to purchase Twitter, and since July, he has been attempting to back out of the agreement.
According to two employees who received the email, Ned Segal, Twitter’s chief financial officer, stated that these difficulties would likely have an impact on the annual incentives that staff earn, with the bonus pool now at 50% of what it could be if the firm met its financial targets.
The company ties its annual bonuses to its performance against revenue and profitability goals.
A Twitter spokesman confirmed the accuracy of the email and declined further comment.