This resolution comes more than a year after the unexpected termination of the workforce in November 2022.
Most of the affected staff, who had been working at the social media platform for just a few months, had been seeking their promised redundancy payments. The dispute had escalated, with the former employees expressing their intention to take legal action against X for failing to fulfill the commitments made regarding their severance packages.
The settlement was confirmed by the agency representing the sacked employees, Seven Seven. The legal representation successfully secured a redundancy settlement and repatriation expenses for foreign staff, bringing closure to a prolonged period of uncertainty and financial strain for the affected individuals.
The African workforce, numbering fewer than 20, had recently relocated to X's new office in Accra when they were terminated. This move followed several months of remote work necessitated by the challenges posed by the Covid-19 pandemic.
Carla Olympio from Seven Seven conveyed the satisfaction of the former employees, stating that they are pleased to finally receive their due settlement. The settlement marks the end of a contentious battle for compensation and provides the affected individuals with the opportunity to look ahead to the future.
Last year, the sacked employees shared their grievances with the BBC, shedding light on the adverse impact of their treatment on mental health and finances. They detailed their initial understanding that they would receive a one-month paid notice period, only to be immediately locked out of their emails, with subsequent salary payments withheld.
The restructuring at X took place under the leadership of Elon Musk, who took over the company in 2022. The global staff reduction, which affected over 6,000 employees, was attributed to the financial challenges faced by the company, with Musk stating he was losing more than $4 million a day.
While Musk had mentioned that laid-off employees were given three months' severance pay, the African-based staff contradicted this claim, asserting that they did not receive the promised severance.
The resolution with the Ghanaian workforce comes after X faced a lawsuit last year, filed by ex-employees in a California court. The lawsuit accused the company of refusing to pay at least $500 million in promised severance packages.
The settlement in Ghana may pave the way for similar resolutions in other parts of the world where former X employees are seeking their due compensation.