Lawsuit Alleges Calif. Tesla Factory is a 'Hotbed For Racist Behavior'

A former Tesla employee is accusing Tesla of racial discrimination at its Fremont California factory.                  James Martin  CNET

A former Tesla employee is accusing Tesla of racial discrimination at its Fremont California factory. James Martin CNET

This is the third lawsuit filed against Tesla this year for racist treatment of black workers and subsequent negligence by the company, per Business Insider.

"In light of CEO Musk's message to employees that racist epithets can be directed 'unintentionally' and that it is 'important to be thick-skinned, ' it is not surprising that the Tesla Factory has become a hotbed for racist behavior", the suit said. According to Bloomberg, goals of the suit include punitive damages as well as the implementation of Tesla company policies to prevent workplace racism in the future.

Former Tesla employee Marcus Vaughn filed the lawsuit in California's Alameda County Superior Court Monday on behalf of black workers at Tesla's Fremont factory.

The lawsuit alleges no one from the company followed up with Vaughn about his complaint, nor did they investigate his claims.

Last week, Musk went on the offensive after Moran, who claimed to be a Tesla employee, wrote a 760-word argument for why factory workers in Fremont should unionize. Most recently, Tesla's actual production rate on the Model 3 is laughably behind schedule relative to Musk's initial and overly optimistic projections.

Vaughn was sacked in October for "not having a positive attitude" and alleges in the lawsuit that he was called "n****r" repeatedly by supervisors and coworkers.

Vaughn's charges come shortly after reports showed that Tesla fired between 400 and 700 people after completing an employee evaluation review in September. The article states that today's price/earnings multiples of auto shares (subscription required) are "historically low", though Tesla "is looking overvalued".

Vaughn's complaint also quotes allegedly features a letter from CEO Elon Musk, where he tells his employees to be "thick-skinned and accept that apology".

"Tesla is not doing enough".

BRENNER, ITALY - MAY 8, 2016: Tesla charging stations are located throughout EU to accommodate owners of the electric car.

Earlier, a female engineer working for the manufacturer of the first electric sports car said she was a victim of "pervasive harassment". "It's somewhat akin to saying 'stop being politically correct.' When you have a diverse workforce, you need to take steps to make sure everyone feels welcome in that workforce", he explained.

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Tesla - even with all its faults - has been incredibly important to the auto industry.

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