San Francisco officials are investigating if Elon Musk's 'Twitter Hotel' plan broke laws


San Francisco officials are investigating Twitter after six former employees allege that owner Elon Musk's leadership team broke laws in turning the company's headquarters into a "Twitter Hotel” for workers being pushed to stay up late to transform the social media platform. — AP Photo/Jeff Chiu, File

SAN FRANCISCO: San Francisco officials are investigating Twitter after six former employees allege that owner Elon Musk's leadership team broke laws by turning the company's headquarters into a "Twitter Hotel” for workers who were pushed to stay up late to transform the social media platform.

The San Francisco Department of Building Inspection said Friday that it has opened a new complaint and will be conducting an investigation into the new allegations.

The San Francisco Chronicle earlier reported on the city's latest investigation into the company that Musk took over late last year.

That's after the ex-employees, including a former vice president of real estate, alleged in a lawsuit filed in a federal court in Delaware that Twitter didn’t pay them promised severance. Twitter is seeking to have the case dismissed.

The ex-workers also allege that Musk’s team ordered numerous changes to the company's headquarters in a 1930s Art Deco building in downtown San Francisco that violated building codes. Those changes included disabling lights and adding locks that wouldn't open during an emergency, according to the lawsuit.

One of the plaintiffs is Tracy Hawkins, Twitter’s former vice president of real estate and workplace, who was responsible for managing the company’s physical offices and leases. The lawsuit says Hawkins wasn’t initially opposed to Musk’s takeover but "was forced to resign when Elon Musk and his transition team insisted that she violate her professional ethics by causing Twitter to intentionally breach its leases and other contracts.” The lawsuit claims Musk refused to pay rent on the building.

This is not the first time San Francisco officials have tussled with Musk, who bought Twitter for US$44bil (RM199.7bil) in October and gutted much of its workforce as he converted a part of the company's headquarters into bedrooms.

Earlier this year, San Francisco building inspectors gave Twitter’s construction contractor two weeks to submit a corrected building use permit if the company wanted to keep using two conference rooms as bedrooms.

The city launched an investigation in December after Forbes reported on the beds, prompting Musk to lash out at San Francisco Mayor London Breed, even though there is no evidence she was involved in the inspection. – AP

Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!
   

Next In Tech News

Valkyrie Funds halts ethereum purchases for exchange-traded fund
EU starts early-stage probe into Nvidia-dominated AI chip market's abuses - Bloomberg News
US Supreme Court to hear Warner Music case on limits to copyright damages
US Supreme Court to weigh state laws constraining social media companies
Intel hails 'landmark' as high-volume EUV production begins at Irish plant
Electronic Arts launches 'FC 24' soccer game in fresh start after FIFA split
Volkswagen: to build Trinity model at Zwickau, no further plant needed
Explainer-Why is France raiding a graphics card company?
Fortnite maker Epic Games tightens belt with layoffs
French authorities approve Apple's software update of its iphone 12

Others Also Read