Landlord sues Twitter for non-payment of rent on headquarters
Earlier, the New York Times reported that Musk and his advisers hoped to renegotiate the terms of the building’s lease agreement after laying off many of the company’s employees.
TWITTER is being sued by its landlord for not paying rent for its headquarters site in downtown San Francisco, which the platform is reportedly going through massive cost-cutting under new CEO Elon Musk.
The company owes US$136,260 (more than RM600,000) in unpaid rent, according to a lawsuit filed on Thursday by Columbia Property Trust as reported by the New York Post .
Earlier, the New York Times reported that Musk and his advisers hoped to renegotiate the terms of the building’s lease agreement after laying off many of the company’s employees.
Downsizing has already begun and is expected to continue.
Twitter, which is closing its Seattle office, The Times reported Friday – is also cutting cleaning and security services at its headquarters.
The report claims that workers who are still on duty bring their own toilet paper to work.
Musk bought Twitter for US$44 billion (RM193.8 billion) in October and has cut costs in various ways since the acquisition.
Cleaning and security staff have also been laid off from the company’s offices in New York and San Francisco.
On Christmas Eve, Musk ordered staff at a data center in Sacramento to shut down key servers as a cost-saving measure, the Times reported .
Meanwhile, layoffs continue with the company’s infrastructure and public policy divisions also cut starting last week, the report added.
Employees have been instructed to delay payments to contractors or vendors – including accountants and consultants working with the company.
According to the report, the company is also being sued for failing to pay nearly US$200,000 (RM881,000) for private charter flights made the week Musk took over.
Workers expect more layoffs to come, the report revealed.
