How Not to Run a Transition: Twitter’s 2022 Layoffs
- Axel Menzel
- Aug 11
- 6 min read
When half the company disappears by email, there are lessons for every HR leader.
Mass layoffs are always traumatic. They affect not only those who lose their jobs but also the morale of those who remain, and they often reveal a company’s core values (or lack thereof). In late 2022, shortly after purchasing Twitter for $44 billion, Elon Musk initiated one of the most abrupt restructurings in recent corporate history. By some accounts the company cut about half of its roughly 7,500 employees. It was not just the scale but the manner of communication – impersonal emails sent at night, locked‑out accounts, and an apparent disregard for labour law – that turned Twitter’s layoffs into a global cautionary tale.
This case study examines how Twitter handled its November 2022 layoffs and what HR professionals can learn about crisis communication, employee relations and legal compliance.
Background – a whirlwind takeover and looming cost cuts
In October 2022, Musk finalised his takeover of Twitter and immediately ousted top executives. He simultaneously declared that the company needed to “go through the difficult process of reducing our global workforce”. Internal plans reviewed by Reuters suggested that up to 3,700 people – about half of Twitter’s workforce – would be laid off. Twitter ended 2021 with just over 7,000 employees, so this reduction represented an unprecedented shock to the organisation.
Musk’s rationale was cost cutting. With a $13 billion debt package tied to the takeover and advertising revenue falling, he argued that Twitter needed to become leaner and “engineering‑driven” to survive. Still, speculation swirled that he planned to eliminate whole teams he deemed non‑essential – including communications, machine‑learning ethics and moderation – and to measure engineers by lines of code, not quality.
Communication – how Twitter broke the news
The Thursday memo: “Your Role at Twitter”
On Thursday 3 November 2022, a week after the takeover, employees received a company‑wide email telling them that layoffs would begin the next morning. The message, later published by the Guardian and ABC News, explained that “all employees will receive an email on Friday” and that those who were staying would get a note in their work account, while those being laid off would receive notification in their personal email. The subject line would read “Your Role at Twitter.” The company warned staff not to discuss the notice publicly and said that offices would be closed and badge access suspended during the process.
The Friday morning email – short and stark
At around 9 am Pacific time on Friday 4 November, employees began learning their fate. Those kept on received a simple “You’re safe” message in their work inbox. Those being laid off found a blunt email in their personal inbox, which ABC News summarised as follows: “Today is your last working day at the company”. It stated that about 50 % of the workforce had been impacted, thanked recipients for their contributions and noted that they would remain technically employed (and paid) until early January 2023. The letter included non‑negotiable severance terms: one month’s base pay.
Implementation: locked‑out emails and Slack channels
Many affected employees did not even have the chance to read the email; they discovered the news when their work laptops, Slack and email accounts were abruptly disabled. Employees posted on Twitter that they were “remotely logged out of my work laptop and removed from Slack”. Another employee told CBS News he had lost access to Slack and email and then received the personal email confirming his layoff.
Exclusion and confusion
The manner of communication – an automated email followed by instant deactivation of accounts – created confusion. Without a personal conversation or clear timeline, many employees frantically pinged colleagues to see who could still respond, creating ad‑hoc spreadsheets of survivors. There was no formal briefing from management, leaving those remaining uncertain about what teams remained or who their managers were.
Legal and ethical fallout
Potential WARN Act violations
U.S. labour law requires companies with more than 100 employees to give 60 days’ advance notice of mass layoffs or provide 60 days of pay in lieu. Twitter offered laid‑off staff one month of base pay, far short of the statutory requirement. Within days a class‑action lawsuit was filed alleging that Twitter locked employees out of their accounts on Thursday – effectively firing them without notice – and thus violated federal and California WARN Acts. Musk responded on Twitter that “everyone exited was offered three months of severance, which is 50% more than legally required”, but numerous staff reported receiving only one month’s pay.
Moral hazard and reputational damage
Beyond potential legal exposure, Twitter’s approach damaged its reputation. The abrupt emails and silence left many of those still employed fearful and disengaged. Industry commentators noted that even unaffected staff “wished they’d been fired” because the work environment had become chaotic and morale had collapsed. Advertisers paused spending due to concerns about content moderation, which had been gutted by the layoffs.
Reactions and cultural impact
Employees and observers quickly labeled Twitter’s layoffs as a case study in poor leadership. HR experts emphasised that compassionate layoffs are “communicated clearly and conducted with respect”, ideally via personal conversation or video. The Society for Human Resources Management’s Liz Petersen called email “the lowest‑level option”. Executive coach Brooks Scott argued that long‑term employees deserved at least a phone call.
Public reaction was equally critical. Social media filled with posts using the hashtag #OneTeam to mourn the end of Twitter’s pre‑Musk culture. Musk himself fuelled controversy by tweeting, seemingly sarcastically, “I would like to apologize for firing these geniuses. Their immense talent will no doubt be of great use elsewhere” after firing employees who criticised him on Slack. Commentators compared Twitter unfavorably to companies like Stripe and Airbnb, which had conducted layoffs with transparency and empathy.
Lessons learned – how to do better
💡 Plan communications with empathy and transparency. Twitter’s mass email lacked individual acknowledgment and failed to address the emotional impact of losing one’s job. A short message delivered via personal email, combined with immediate loss of system access, created a sense of disrespect. Future restructuring communications should thank people sincerely, provide context, and offer channels for questions. For example, Airbnb’s 2020 layoffs were accompanied by a heartfelt letter from the CEO, followed by personal conversations and generous severance.
💡 Provide complete information up front. Telling employees they will receive severance details “later” fuels anxiety. Clear, comprehensive severance packages and timelines should accompany the initial notification. Companies must also ensure compliance with labour laws such as the WARN Act, which typically requires 60 days’ notice or equivalent pay.
💡 Use human channels wherever possible. While in‑person meetings may not be feasible for thousands of people, companies can still offer video calls, one‑on‑one conversations or at least interactive Q&A sessions. Emails should be supplemented with open forums and accessible HR contacts to answer questions. As the Vox article noted, email is the lowest‑level option.
💡 Consider the survivors. Layoffs without clear communication create chaos for remaining employees. Twitter left those who stayed confused about team structure and management. A transition plan must include clear information on organisational changes, new reporting lines and support for the remaining workforce.
A cautionary tale for transition leaders
Twitter’s 2022 layoffs illustrate how not to conduct a corporate downsizing. By sending mass emails at odd hours, locking employees out of their accounts, offering minimal severance, and failing to communicate proactively, Twitter undermined its reputation and invited legal scrutiny. The company is still dealing with lawsuits and reputational damage, and former employees have become vocal critics.
For HR leaders and CEOs, the message is clear: major transitions require planning, empathy and transparency. If cuts are unavoidable, they should be communicated with respect, comply with labour laws, and be accompanied by genuine support for those leaving – and for those who remain.
Sources we used to create this article
The Guardian – “Elon Musk announces Twitter mass layoffs to begin Friday”
ABC News – “Twitter begins layoffs, cuts to affect 50% of staff”
CBS News – “Twitter layoffs begin a week after Elon Musk’s $44 billion takeover”
Reuters – “Explainer: Will Twitter layoffs violate U.S. law?”
Reuters – “Musk tells Twitter staff: Opt in for ‘intensity’ or take severance”
Comments