US agency takes legal action against Tesla over racial harassment claims

In many cases, Tesla fired their employees or retaliated over the complaints of racial discrimination. The commission tried to settle the lawsuit with Tesla outside the court but Tesla didn’t confirm to the settlement demands which led to the breaking down of settlement talks.

The US Equal Employment Opportunity Commission (EEOC) has taken legal action against Tesla, filing a lawsuit in a California federal court that revolves around claims of color discrimination. This lawsuit stems from allegations made by several black workers who assert that they faced racial discrimination within the company.

The EEOC's lawsuit brings to light disturbing incidents that reportedly unfolded within Tesla's flagship Fremont plant, where black workers endured verbal abuse and racial discrimination. The commission contends that despite numerous complaints filed by employees regarding such incidents, Tesla's management failed to take any meaningful action to address these grievances.

In many cases, Tesla fired their employees or retaliated over the complaints of racial discrimination. The commission tried to settle the lawsuit with Tesla outside the court but Tesla didn’t confirm to the settlement demands which led to the breaking down of settlement talks.

As a result of that, the US Equal Employment Opportunity Commission has sued Tesla in a federal court. California’s Department of Fair Employment and Housing, which is now called the Civil Rights Department has also filed a case against Tesla for the discrimination of blacks in their company.

California’s Civil Rights Department has alleged multiple violations of the Californian state law by Tesla on the grounds of racial discrimination. Tesla has responded to the lawsuit by claiming it to be politically motivated. It also said that the Civil Rights Department broke state laws by directly filing a lawsuit without any notice to the automobile company.

A former employee in Tesla, Owen Diaz earlier won a case against the company on the grounds of racial discrimination. A jury awarded him $3.2 million in April this year. A different jury granted him $137 million in 2021 but the judge reduced the compensatory value to $15 million. Owen Diaz is now preparing for a third trial against Tesla in his 2017 lawsuit.