Tesla under EEOC scrutiny, 10Q shows

Signage displayed at Tesla Inc. assembly plant in Fremont, California on Tuesday, September 9th. 22, 2020.

David Paul Morris | Bloomberg | Getty Images

The federal agency responsible for enforcing civil rights laws against discrimination in the workplace issued a ruling against electric vehicle maker Tesla in June. financial documentation comes out on Monday.

Tesla said in its second-quarter report that the U.S. Equal Employment Opportunity Commission finds “close parallels” to complaints filed in a lawsuit by California’s civil rights agency, the Department of Fair Employment and Housing. The first Tesla car assembly plant in the United States is located in Fremont, California.

In February, this government agency identified that she conducted a three-year investigation into Tesla, received hundreds of complaints from black workers, and found evidence that the company regularly resorted to racist discrimination that harmed these workers.

Among other things, the DFEH alleges that Tesla kept black workers in California in lower-level positions within the company, even if they had the skills and experience for promotions or higher positions; assigned black workers more physically demanding, dangerous, and dirty work in their factories; and retaliated against black workers who formally complained about their experiences, including racist slurs used by managers in the workplace.

In April of this year, Tesla filed a motion to strike and objected, seeking the dismissal of the DFEH’s claim, or at least some of its demands. A hearing on the matter is scheduled for August. 24 in California.

Tesla will now participate in a mandatory reconciliation process with the EEOC, the statement said. If EEOC and Tesla fail to reach an agreement through this process, the agency may sue Tesla in federal court for alleged civil rights violations.