Elon Musk yesterday for the first time addressed Twitter employees and is said to have indicated job cuts. Musk conversed with the employees virtually and answered questions that were submitted earlier. Although Musk did not explicitly say that layoffs were on the cards, he talked about how Twitter was suffering and needs to be stabilized financially.
According to sources, Musk reiterated that as of now Twitter was making lesser money than it was spending and so required a major overhaul. He talked about how the costs must be cut back in order to make the company financially healthy again.
Last month, Twitter CEO Parag Agarwal said that besides some reshuffle in the top leadership, there will be no mass layoffs in the company, ahead of Elon Musk takeover. He has, however, said that the company will implement some budget cuts. The budgeting measures may mean cutting down non-labour costs like contractor and consulting fees, marketing, travel and events expenses, real estate spaces, and other infrastructures, including cloud-based, he had stated.
Musk also explained his decision to end remote working. He said that personally he always preferred to work on-site, however, some people might be flourishing in the work-from-home set-up. He said that those employees who were showing excellent results while working remotely should be allowed to continue.
Earlier this month, Musk had said that remote working will no longer be an option. He had issued a letter to the employees to assert this guideline and said that those who still wanted to work remotely, should find some other place to work.