Elon Musk reportedly disabled company credit cards after seizing control of Twitter, according to a New York Times investigation. According to reports, Musk refused to pay back the travel expenses of current and past employees, even though his staff claimed that the services had been approved by the previous administration of the business and not by him. His workers allegedly shied away from calls from travel suppliers.
A brief about Elon Musk has denied access to corporate credit cards for Twitter staff
The cost-cutting tactics taken by tech tycoon Elon Musk after he paid $44 billion to acquire Twitter have gone beyond mass layoffs, according to sources, and have even extended to not paying old invoices that are “worth millions of dollars.”
On October 27, Mr. Musk completed his $44 billion acquisition of Twitter, and the company’s CEO and other senior executives were immediately let go. Since then, other executives have resigned or been fired, and managers have been instructed to compile lists of high- and low-performers, perhaps in preparation for job cuts. More than 50 engineers and staff members from Mr. Musk’s other businesses, such as the electric vehicle manufacturer Tesla, were also invited in to study the technology of the social media network and the lists of Twitter employees who were laid off.
The richest guy in the world is under pressure to make Twitter profitable. The transaction represented the largest-ever leveraged buyout of a technology business. For the transaction, the billionaire also borrowed $13 billion from Twitter, with interest payments totaling approximately $1 billion annually. But Twitter frequently experiences financial losses, and its cash flow is weak. Cost-cutting measures that make the business less expensive to run might be advantageous to Mr. Musk.
It’s one of many dubious strategies Musk has used to balance the budget at a business he paid almost $44 billion to acquire. The richest guy in the world has no qualms about using the most brutal or frivolous strategies to save extra money, laying off half of Twitter’s 7,500 employees just weeks into his leadership and continuing to terminate staff who have voiced opposition.
