In a recent development, Tesla, the electric vehicle (EV) manufacturer, has been hit with yet another class-action lawsuit from 240 black factory workers in California who claim they faced racism and discrimination at the San Francisco Bay Area plant. According to the workers, they endured racial slurs and were referred to the site as a plantation or slave ship. The employees filed their testimonies in Alameda County Superior Court on May 10, which form part of a case that was initially brought in 2017 by Marcus Vaughn, another former worker who was fired after he complained of a hostile work environment.
The lawsuit details several allegations by black workers, who have claimed that Tesla had created a hostile work environment to discriminate against them. Reports suggest that they were called racial slurs, given workloads and responsibilities that reflected the company’s alleged discrimination, and subjected to penalties and disciplinary action if they told others about these issues. The workers found the conditions akin to “modern-day slavery.” In one instance, allegations have arisen that suggest Tesla management discouraged appearing with workers of colour in Elon Musk’s presence. According to Monica Chatman, a former employee, “they didn’t want a Black face up there.”
Tesla has denied the allegations levelled against it and its management. The firm’s attorneys have made statements, contending that, “race plays no role in any of Tesla’s work assignments, promotions, pay or discipline.” Additionally, Tesla is already facing ongoing litigation over other similar claims. Another former Tesla employee, Owen Diaz, turned down a $3.2m payout from the firm in a racial harassment case and is seeking a new trial. Diaz, hired as an elevator operator via an agency at Tesla’s Fremont, California, factory in 2015, said that colleagues subjected him to racist verbal abuse, telling him to “go back to Africa.” Diaz’s lawyers recently filed a court document alleging that “proper” lines of questioning did not take place in court because of Tesla’s lawyers’ “improper” line of questioning. In another filing, Tesla’s own lawyers sought to reduce the awarded damages to Diaz down from $3.2m to $1.75m, arguing that the sum awarded is disproportionate to Diaz’s compensatory damages.
The charges stemming from the racial harassment of black workers are part of a broader set of lawsuits brought by employees against Tesla. The black workers state that the Tesla factory in Fremont, California, has numerous ongoing cases of racism, discriminatory practices, and harassment. The lawsuit brought in 2017 by Marcus Vaughn seeks class-action status, whereby the recent case brought by the 240 black factory workers is a part.
This ongoing lawsuit, coupled with the company’s other legal challenges, has raised questions about the workplace culture fostered by Tesla’s management. The EV vehicle maker, renowned for its innovative products and eco-friendly manufacturing, which revolutionised the automotive industry, has frequently faced allegations of anti-union activity, safety lapses, and union-busting. The racial discrimination case now adds another episode in the firm’s history of facing numerous lawsuits brought by employees over mistreatment, harassment, and discrimination in the workplace.
In light of these allegations and accusations, it remains to be seen how Tesla management will respond to the class-action lawsuit brought by black factory workers. The ongoing litigation underscores the importance of diversity, inclusion, and equity initiatives in the workplace to prevent discrimination and harassment. While Tesla has achieved much success in producing innovative and environmentally friendly EVs, it may be time for the leadership to focus more on promoting workplace diversity, inclusion, and equity to prevent workplace-related legal problems and accusations in the future.