Tesla countersues California civil rights agency in workplace racism battle

By Malathi Nayak | Bloomberg

Tesla Inc. filed a countersuit in opposition to the California Civil Rights Division after the company accused the corporate of fostering racial bias at its foremost manufacturing unit.

The world’s most precious automotive maker mentioned state officers didn’t give it ample discover of claims or earnestly have interaction in efforts to resolve the dispute in violation of state regulation.

The division’s conduct “is solely inconsistent with the ideas of honest discover, impartial investigations, good religion conciliation, and necessary pre-suit mediation,” required beneath state employment regulation, Tesla mentioned in its grievance filed Thursday in Alameda County Superior Courtroom. The go well with was introduced unlawfully with out looking for public remark or holding a listening to, in accordance with the grievance.

A decide final month rejected related arguments by Tesla in its request for dismissal of the division’s grievance, which described the corporate’s Fremont plant as a “racially segregated office.”

Tesla needs a court docket order barring the company from making use of “invalid and illegal underground laws” till the company comes up with a contemporary algorithm governing firm investigations.

RELATED: Noose drawing, lynching reference left up for months at Tesla’s Fremont manufacturing unit, civil-rights lawsuit claims

A spokesperson for the company didn’t instantly reply outdoors common enterprise hours to a request for remark.

The countersuit comes a day after the division requested a decide to order Tesla to cooperate with an investigation into a person’s civil rights grievance in opposition to the corporate filed in 2020. The company mentioned the corporate was withholding paperwork associated to race-based harassment complaints, inside investigations and disciplinary data.

“Tesla has impeded CRD’s investigation by refusing to offer substantive investigative discovery responses,” the company mentioned in a court docket submitting.

The countersuit was reported earlier by Reuters and the Wall Avenue Journal.

The company mentioned in its February grievance that Black staff at Tesla complained to the division about listening to racial slurs as typically as 50 to 100 instances a day and recognizing racist graffiti on restroom partitions, work stations, lunch tables and different areas.

Tesla has mentioned it “strongly opposes all types of discrimination and harassment.”

A former contractor for Tesla who received a $137 million jury verdict over racist abuse on the manufacturing unit is headed for a retrial in opposition to the corporate in March after disagreeing with a decide who mentioned the award must be decreased to $15 million.

The case is Tesla Inc. v. California Civil Rights Division, 22CV006830, California Superior Courtroom, Alameda County.

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