According to reports, a California government department previously filed a lawsuit against Tesla, claiming that there is widespread racial discrimination in a Tesla factory. Tesla has argued that the department’s lawsuit against it is not legally required. On Wednesday, a judge ruled that the lawsuit could not be suspended on Tesla’s grounds.
California Superior Court Judge Evelio Grillo told the hearing that Tesla could continue to express its position that the California Department of Fair Employment and Housing failed to meet relevant requirements before suing the company in February. request, but the suspension of proceedings is unreasonable.
Tesla’s lawyers have argued that the lawsuit should be put on hold and the department should give Tesla the opportunity to try to reach a settlement outside of court. But Grillo said he had no right to do so. “We can’t usually order a department to exercise its rights in a specific way,” he said.
On Tuesday, Grillo said in a written order that he prefers to let the lawsuit move forward. So the decision announced on Wednesday was to be expected. Tesla and its lawyers have not yet commented on the decision. The California Department of Fair Employment and Housing also did not respond.
The department alleges in the lawsuit that Tesla’s Gigafactory in Fremont, California, has a range of problems, including racial segregation, as well as harassment and discrimination against black employees in job assignments, labor discipline and pay. Tesla has denied wrongdoing and said the lawsuit was politically motivated.
On the same day, Tesla filed a complaint with the California Office of Administrative Law, alleging that the Department of Fair Employment and Housing repeatedly ignored the requirements of state law before suing the employer for alleged discrimination.
During Wednesday’s hearing, Grillo said Tesla can still stand by its position that the Department of Fair Employment and Housing violated state law, but also said that, pending a formal hearing on Tesla’s motion, He won’t make a decision. The hearing is scheduled for August.
A number of similar lawsuits are currently pending in California courts alleging discrimination and sexual harassment at various Tesla factories. For example, a black employee previously filed a lawsuit alleging he was subjected to severe racist harassment at the Fremont factory. In April, a state judge cut the jury’s proposed $137 million in damages to $15 million. On Tuesday, the judge dismissed the employee’s motion to appeal the compensation amount.
Tesla also faces a class-action lawsuit alleging racial discrimination and sexual harassment lawsuits filed by at least seven female employees. Tesla has denied the allegations and said it has policies in place to deter and penalize workplace misconduct.
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