Tesla Faces a Racial Discrimination Lawsuit at the California Factory
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Tesla Inc.’s effort to dismiss claims made by two former employees at their California factory failed. The federal judge rejected the electric car maker’s request to dismiss, which cleared the way to a potential trial.
Who Are the Plaintiffs Filing the Discrimination Suit?
Tesla’s California electric car factory employs over 10,000 people. Two of the factory’s former employees, Owen Diaz and his son Demetric Di-az, claim the workplace was rampant with racial hostility. U.S. District Judge William Orrick of San Francisco found open questions over whether the plaintiffs faced harassment that was specifically severe and pervasive. The two plaintiffs allege that the harassment took place throughout both 2015 and 2016. Owen Diaz claims he worked at the factory as an elevator operator for 11 months. Demetric Di-az claims he worked at the factory as a production associate for two months.
Diaz and Di-az, black employees at the factory, claim they were forced to listen to racial epithets regularly, subjected to racist cartoons, and that factory supervisors at best did little to stop the workplace harassment, and at worst, engaged in the harassment alongside the plaintiffs’ co-workers. They may pursue claims that the company did not make a reasonable attempt to stop the racial harassment and seek punitive damages. In order to seek punitive damages, the plaintiffs will need to show that the company was aware of the harassment, even if higher management did not engage in the actual hostile treatment.
The case is scheduled for trial May 11, 2020.
The Defendant: Tesla Electric Car Manufacturer
Tesla is a Palo Alto, California based company. While the electric car manufacturer has faced numerous racial harassment lawsuits, they are not the only car company to have similar legal issues in recent years. Ford faced a similar problem in 2017. The company agreed to a $10.1 million settlement to resolve similar problems with alleged racist behavior at two different Chicago factories. Tesla insists that they did not hesitate in addressing racial abuse at their Fremont factory, but that there is no evidence in this case of fraud, malice or oppression.
Other Details in the Tesla Racial Discrimination Case:
The plaintiffs, Diaz and Di-az, may also pursue claims against the staffing agency that assigned him to the factory, as well as a liaison between that agency and the electric car manufacturer, Tesla. The plaintiffs will likely seek millions of dollars in damages.
If you need to discuss harassment or workplace discrimination, please get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced employment law attorneys are ready to assist you in any one of various law firm offices located in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.
