Phew! Tesla stock appears to be plummeting after the tech giant’s lawsuit details several complaints about the company’s mistreatment of black factory workers.
According to the wall street journalThe lawsuit, filed Wednesday by the California Department of Fair Employment and Housing, includes allegations of workplace discrimination at Tesla’s U.S. auto plant in the San Francisco Bay Area.
“After receiving hundreds of worker complaints, DFEH found evidence that Tesla’s Fremont factory is a racially segregated workplace where black workers face racial slurs and are discriminated against in work assignments, discipline, pay and promotion, creating a hostile work environment,” CDFEH said. director Kevin Kish said in a statement.
Tesla responded to the lawsuit in a blog post, insisting the company is taking all necessary steps to create an inclusive and safe environment for its employees.
“Tesla stands firmly against all forms of discrimination and harassment and has a dedicated employee relations team that responds to and investigates all complaints,” the company said Wednesday. “Tesla is also the last remaining automaker in California. The Fremont plant has a majority minority workforce and provides the highest paying jobs in the automotive industry to more than 30,000 Californians.
Despite the company’s statement. the lawsuit says black employees said they were assigned to more physically demanding jobs compared to their peers of other races, and some allegedly called supervisors and managers back using racial slurs.
Tesla was previously under fire for allegedly subjecting a black contract worker to a racially hostile environment. The company ultimately awarded the man $137 million in damages.
The Department of Fair Employment and Housing is seeking an undetermined amount of damages along with reinstatement and payment of lost wages and benefits to affected employees.
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