Tesla and California are at loggerheads over whether the company has engaged in unlawful race discrimination. Tesla has countersued the California Civil Rights Department (CRD), which has sued the carmaker for widespread discrimination and harassment against Black employees at its Fremont, Calif. plant.
In the countersuit, filed Sept. 22, Tesla alleges that the state overstepped its statutory limits and failed to conduct neutral investigations before it sued Tesla. The automaker says the state didn't provide notice about the particulars of its investigations before initiating those investigations and didn't provide information to support its findings against Tesla. It claims the state filed the lawsuit without first engaging in good-faith conciliation and mediation.
Tesla and CRD have already met in court on CRD's accusations. In August, California Superior Court Judge Evelio Grillo rejected Tesla's argument that the case was improperly broad and that CRD failed to notify it about the claims or allow an opportunity to settle before suing. He allowed CRD's lawsuit to proceed.
"This is going to be an expensive and painful learning experience for them that they need to have an HR function that can get the trust of their employees by actually conducting a prompt and objective investigation to the complaints and taking serious remedial actions to prevent further incidents of racial harassment," said Josh Friedman, an attorney with Friedman Houlding, which represents...
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