Tesla sued by former employees over ‘mass layoff’

Tesla accused by former employees of ‘mass demolition’

They want the status of a class of all former Tesla employees across America who were demolished in May or June without prior notice.

Former Tesla Inc employees have filed a lawsuit against the American electric company, claiming that its decision to demolish the public was in violation of state law as the company had not issued a timely notice of the layoff.

The lawsuit was filed on Sunday night in Texas by two employees who said they were fired from the Tesla gigafactory factory in Sparks, Nevada, in June.

According to the case, more than 500 workers were fired from the Nevada factory.

Employees allege that the company failed to comply with union rules regarding mass layoffs requiring a period of 60 days to be notified under the Employee Transformation and retraining Act, according to the lawsuit.

They want the status of a class of all former Tesla employees across the United States who were demolished in May or June without prior notice.

“Tesla simply informed the workers that their dismissal would take effect immediately,” the complaint said.

Tesla, who did not comment on the retrenchment rate, did not immediately respond to requests for comment.

Tesla CEO Elon Musk, the richest man in the world, said earlier this month he had “felt very bad” about the economy and that Tesla needed to cut staff by about 10%, according to an email seen by Reuters.

More than 20 people claiming to be Tesla employees say they have been retrenched, released or terminated this month, according to the internet and interviews with Reuters.

The action filed by John Lynch and Daxton Hartsfield, who were fired June 10 and June 15 respectively, demanded payment and benefits for a 60-day notice period.

“It is shocking that Tesla would have deliberately violated the labor law by retrenching so many workers without giving the necessary notice,” Shannon Liss-Riordan, a labor lawyer representing Reuters, told Reuters.

He said Tesla was giving other employees only one week off, adding that he was preparing an urgent appeal with the court to try to prevent Tesla from trying to get workers fired so that he could get just one week off.

Musk dismissed the case as “minor”.

“Let’s not learn too much about a baseless case,” he said at the Qatar Economic Forum hosted by Bloomberg.

“It seems that anything related to Tesla gets a lot of clicks, whether small or important. I would put that case you are talking about in a trivial category.”

The case is being re-assigned to the U.S. District Court, Western Texas.


I am Sanjit Gupta. I have completed my BMS then MMS both in marketing. I even did a diploma in computer software and Digital Marketing.

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