News: After layoffs, Elon Musk now snips Twitter's parental leave by 90%

Strategic HR

After layoffs, Elon Musk now snips Twitter's parental leave by 90%

Twitter has updated its parental leave policy to conform to the legal mandates in the jurisdictions where its employees work. The policy also incorporates a "top-up" feature of an additional two weeks of leave.
After layoffs, Elon Musk now snips Twitter's parental leave by 90%

Elon Musk, the CEO of Twitter, has reduced the paid parental leave offered by the company from 20 weeks to a mere 14 days, as per internal documents.

According to an internal memo cited by New York Times reporter Kate Conger, Twitter has revised its parental leave policy to comply with the legal requirements in the regions where employees work. The policy also includes a "top up" of two weeks of leave.

While there is no national policy for paid family leave in the US, some employees are entitled to up to 12 weeks of unpaid, job-protected leave under the Family and Medical Leave Act for specific family and medical reasons.

With the reduction in parental leave policy by Musk, employees at Twitter who desire more paid leave will now have to rely on the state laws of their place of residence.

Some form of paid family and medical leave is available in 12 states. In California, the law allows employees to take paid leave for up to eight weeks. New York and New Jersey have more extensive policies, providing 12 weeks of paid leave and up to 26 weeks of job-protected unpaid leave. Rhode Island offers the most comprehensive policy, granting workers 30 weeks of paid leave, stated the same report by New York Times. 

In contrast, Google's policy on parental leave permits fathers to take up to 16 weeks off, whereas mothers can receive paid leave for up to 24 weeks to bond with their newborn. Etsy, an online marketplace headquartered in Brooklyn, provides its staff with an ample leave policy of 26 weeks, all fully paid. 

Elon Musk, who is among the wealthiest business magnates in the world, mainly due to his ownership stake in the electric vehicle manufacturer Tesla, acquired Twitter through a heavily leveraged transaction valued at $44 billion in the autumn of last year.

After assuming control, Musk has implemented drastic measures that involve reducing the company's workforce by over 70%. Prior to the acquisition last year, the company employed 7,500 individuals; however, it has now been reduced to approximately 2,000 workers.

The CEO of Twitter has taken several measures to reduce costs, such as eliminating certain benefits and privileges, including allowances for "wellness," home internet and WiFi expenses, and companywide events called "Camp Twitter," as well as daycare costs. Additionally, Twitter has reduced mobile phone allowances and funds designated to cover work-related travel expenses.

In an attempt to increase revenue, Musk's financially struggling company has been seeking alternative methods since advertisers abandoned the site in the weeks and months that followed the mogul's acquisition of the firm. 

On Thursday, the MTA declared that it would discontinue providing real-time service alerts on Twitter since the platform started charging an exorbitant fee for this crucial function that enables such posts.

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Topics: Strategic HR, Benefits & Rewards, #Layoffs, #HRTech, #HRCommunity

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