The takeover of the company by Musk has employees worried about a major change to the service.
Mr. Musk tried to back out of the deal after making statements about how he would change the service. With his takeover back on track and set to close no later than next Friday, there has been an increase in the amount of unhappiness within the company.
The Washington Post reported on Thursday that Mr. Musk was going to cut staff by as much as 75 percent. Five employees who were not authorized to speak publicly said that workers were worried about how their compensation would change once Mr. Musk transformed the company from a publicly traded firm into a private one.
Some of the concerns were calmed late on Thursday. Sean Edgett said in a memo that there were no plans for layoffs.
He wrote that they don't have any confirmation of the buyer's plans following close and recommend not to follow rumors or leaked documents. The memo was reported by a news agency.
It might not be enough to assure employees. The deal for the company will allow Mr. Musk to do almost anything he wants with the firm. He has said that he will make changes.
Mr. Musk has said that he wants more free speech on the platform and that he will allow former President Donald J. Mr. Musk has said that he plans to add more subscription services and cut some jobs in order to get more people to use the service.
The deal was a big one. In April, Musk made an offer worth more than 40 billion dollars for the social network, saying he wanted to make it a private company.
The deal appeared to be in trouble as of Friday. A person with knowledge of the situation said that the investment banks are still working to finalize their commitments. The financial analysis of the company is being shared with investors by Mr. Musk's advisers.
Mr. Musk is expected to use a lean budget once the deal is done. The billionaire is taking out more than $12 billion in loans to finance the acquisition, which will put him on the hook for expensive repayments The investors who contributed more than $7 billion will eventually get returns.
Mr. Musk has made it clear that he thinks he is paying too much for the company as its stock has fallen recently. He said during the earnings call that he and other investors are overpaying for the social networking site.
A spokesman for Mr. Musk refused to speak. It wasn't possible to comment on the matter.
Since Mr. Musk became the company's biggest shareholder, employees have been on edge. Concerns about his ownership have been compounded by the inconsistent nature of the business of his company.
Two people with knowledge of the plans said that early this year, the company considered cost-cutting measures, including not replacing employees who left because of attrition. In the last few months, the company has aggressively cut costs by freezing hiring and reducing real estate.
Five employees said that workers are worried that Mr. Musk won't keep his promise to compensate them. Mr. Musk agreed to continue paying comparable salaries and benefits for one year. Their compensation will be different.
Regular grants of shares in the company are given to employees based on their employment agreements The grants are to be replaced with cash because of Mr. Musk's plan to take the company private. The shares that employees have already earned will be paid out.
Employees were worried that Mr. Musk might not honor the agreement because he had changed his mind many times. Three people with knowledge of the matter said that an internal document was created to answer questions about how equity compensation might shift.
Three people familiar with the conversations said that workers have tried to advise each other on how to manage their finances during the merger. They advise people to download their equity contracts in case Mr. Musk tries to change them.
Three employees said that the company's executives and employees were at odds over pay. If Mr. Musk fires the executives, they will get golden parachutes.
If Mr. Musk fires Parag, he will get more than $60 million in cash and stock. Some executives will make more than 20 million dollars. In response to employees questions, the management of the company said that executive payments are normal in acquisitions.
Many employees are scheduled to receive their next equity grant and/or cash compensation in November.
Some employees joked about how few people would remain at the company after Mr. Musk took control.
One of the employees said that they were pumped for the company's next meeting. Four people are dancing in a video.
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