Google, Amazon, Microsoft, Meta, Twitter severance packages compared

Google headquarters is seen in Mountain View, California, United States on September 26, 2022. (Photo by Tayfun Coskun/Anadolu Agency via Getty Images)

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Tech companies have laid off tens of thousands of workers in recent months as the industry grapples with a reduced risk appetite from investors and increases in borrowing costs. Laid-off employees across the tech sector enter an uncertain job market, with headcount reductions taking place across all experience levels and teams. Few companies, with the possible exception of Apple, have been immune.

Laid-off workers will receive severance packages of varying size and duration, depending on where they work. Here’s what some of the biggest tech names have promised their employees.

Alphabet

Microsoft

Amazon

Salesforce

Meta

Mark Zuckerberg, chief executive officer of Meta Platforms Inc., center, departs from federal court in San Jose, California, US, on Tuesday, Dec. 20, 2022.

David Paul Morris Bloomberg | Getty Images

At the time, Zuckerberg promised “every” laid-off employee 16 weeks of severance, plus two weeks for every year of service, as well as RSU vesting and health insurance coverage for a predetermined amount of time.

In Dec. 2022, some laid off workers from a non-traditional apprenticeship program told CNBC that they were receiving substandard severance packages compared to other recently laid off employees. Instead of Zuckerberg’s promised 16 weeks, they received only 8 weeks of base pay, among other material differences.

Twitter

Layoffs at Twitter began shortly after Elon Musk completed his takeover deal in 2022. Twitter had been expected to lay off over 3,700 employees, or over 50% of its workforce. Ultimately, many more employees quit after Musk announced that Twitter employees would be expected to commit to a “hardcore” work environment.

Under the terms of Musk’s buyout deal, existing severance agreements were to be honored by the new management. But a group of Twitter employees filed suit in November, shortly after layoffs were executed, accusing Twitter of laying them off in violation of California’s layoff-notification law.

Musk had previously said that laid-off employees would receive three months of severance pay, but some Twitter employees claimed that in return for a non-disparagement agreement and a legal waiver, Twitter would offer them only one month of severance.

The class action was updated shortly after filing with allegations that Twitter was offering some laid-off employees half of what they had been promised.

Twitter also laid off over 4,000 contract workers without giving them prior notice, CNBC previously reported.

CNBC’s Annie Palmer, Jonathan Vanian, Jennifer Elias, Jordan Novet, Lora Kolodny, Ashley Capoot, and Sofia Pitt contributed to this report..

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