A former employee of X Corp., formerly known as Twitter, is urging a California federal court to certify a class of about 2,200 workers in his lawsuit claiming the company withheld promised bonuses following Elon Musk’s acquisition of the social media giant.
Mark Schobinger, who previously held the role of senior director of compensation, filed a motion on Friday seeking class certification in his breach of contract lawsuit. Schobinger alleges X Corp. unlawfully withheld bonuses promised to employees who remained with the company through the first quarter of 2023. He argued that executives’ oral and written assurances created a binding contract and that the company’s decision to revoke the bonuses is central to the case for all affected employees.
Schobinger’s proposed class includes anyone employed by Twitter during the first quarter of 2023 who was not paid their 2022 bonus, despite multiple assurances from company executives that the acquisition by Musk would not affect these payouts. In March 2023, X Corp. employed approximately 2,200 people, with the workforce shrinking to 1,500 by May. Schobinger noted in his motion that executives had repeatedly told workers they would receive their 2022 bonus if they stayed with the company through early 2023.
