SpaceX Faces Hiring Discrimination Complaint

Elon Musk’s rocket company SpaceX is facing claims that their hiring practices are discriminatory against non-U.S. citizens. 

All the Details of the Case: United States of America v. Space Exploration Technologies Corp., d/b/a SpaceX

Court: United States District Court for the central district of California

Case No.: 2:21-mc00043

The U.S. Department of Justice is currently investigating SpaceX due to alleged company-wide discriminatory practices against non-U.S. citizens during the hiring process. The company was issued a subpoena for information, but court documents indicate that the company is not responding with the info. 

Alleged Discrimination During Hiring Process Based on Citizenship: 

The investigation started after the DOJ received an employment discrimination complaint from a non-U.S. citizen. The individual claimed that SpaceX discriminated against him due to his citizenship status. 

A Summary of the Case History: United States of America v. Space Exploration Technologies Corp., d/b/a SpaceX

It is alleged that in March 2020, during an interview for a Technology Strategy Associate position at SpaceX, the company asked questions about the applicant’s citizenship status. Ultimately, the applicant was not hired. The applicant claims the company chose not to hire him for the position because he is not a U.S. citizen or a lawful permanent resident. Plaintiff’s counsel filed a request for a judge to order SpaceX to comply with an administrative subpoena seeking hiring practice documentation. 

Allegations of Discrimination in the Hiring Process at SpaceX:

A non-U.S. citizen made the original allegation of discriminatory hiring practices. After interviewing for an open position at SpaceX, the applicant got in touch with the DOJ’s Employee Rights Section to complain about SpaceX’s hiring practices. The applicant alleges that he was not hired for the open SpaceX position because he was not a U.S. citizen. 

In response to the complaint, the DOJ started an investigation.  

Is the DOJ’s Request for Supporting Documentation Burdensome? 

According to the DOJ, they notified SpaceX of the open investigation on June 8, 2020, and requested the company provide information related to the standard hiring and employment eligibility verification process currently in use. Court documents indicate that SpaceX responded in August 2020, providing a Form I-9 spreadsheet with info about employees dating back through June 2019, but refused the DOJ’s requests for additional documentation like copies of SpaceX employees’ social security cards, driver’s licenses, and passports. They obtained a subpoena on October 7, 2020. After a petition to the DOJ administrative tribunal to dismiss the subpoena was denied, SpaceX was again ordered to comply. On December 11, 2020, SpaceX responded, stating that they would not provide additional documentation in response to the administrative subpoena. The IER argues the additional documentation is necessary as it will show the extent of non-U.S. citizen hires at the company, while SpaceX claims it is a burdensome request since they would allegedly need to retrieve each document manually.                        

If you have questions regarding employment law and how it protects California employees from workplace retaliation, get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced employment law attorneys are ready to assist you in various law firm offices located in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.