Sources: Musk Balking at Paying Some Big Bills

Travel expenses incurred under old leadership are reportedly an issue
By Kate Seamons,  Newser Staff
Posted Nov 23, 2022 9:10 AM CST
Some Bills Are Said to Be Languishing Unpaid at Twitter
A sign at Twitter headquarters is shown in San Francisco, Friday, Nov. 18, 2022.   (AP Photo/Jeff Chiu)

Just how deep is Elon Musk's cost-cutting at Twitter going? Current and former Twitter employees tell the New York Times that the company under Musk is now refusing to pay bills incurred for travel that was carried out before the takeover. And they say those bills, which are tied to executive travel, amount to hundreds of thousands of dollars. The sources tell the Times that Musk's staff has argued the expenses were not approved by Musk but by the former leadership; sources say the staff has "avoided the calls of the travel vendors."

The remainder of the article paints an overall picture of relentless cost-cutting, with Musk having tasked a group of "allies"—associated with Musk's other companies and his family office—with poring over the books while instructing others to figure out how to get out of certain financial obligations (like leases) and renegotiate others (as with Amazon and Oracle for tech services) on more favorable terms. Insider reports employees on Monday were sent an email that explained the parameters for future travel expenses, which must only be incurred for "business-critical purposes"; managers need to approve estimated costs prior to anything being booked. Per Insider, a manager can spend $500 on a trip, while top execs can spend up to $20,000. (Things may not be going great on the revenue side, either.)

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