Elon Musk’s X has reached a tentative settlement with former employees of the company then known as Twitter who’d sued for $500 million in severance pay.

Billionaire Elon Musk and his social media firm X have reached a tentative settlement with former employees who had sued for $500m (£373m) in severance pay. The parties reported the deal in a court filing on Wednesday, jointly requesting the US appeals court in San Francisco to postpone an upcoming hearing to allow time to settle the paperwork.

Elon Musk's acquisition of Twitter led to mass layoffs. Many employees did not receive promised severance. A lawsuit was filed by former Twitter workers. Now, a settlement has been reached between Musk's X Corp and the ex-employees.