Dozens of Black employees at Tesla's flagship plant in Fremont, California, have alleged they were subjected to racist slurs, unequal pay and promotions, and daily bullying by supervisors, according to a lawsuit brought by the state of California. The trial began Monday with opening statements.
Opening Statements Detail Alleged Racist Graffiti and Slurs
Brett Watson, a lawyer for the California Civil Rights Department, began by showing the court photographs taken throughout Tesla's Fremont factory. The images included the N-word scratched on to a grey-blue metal surface and written in black marker on a wall. According to court documents, "KKK", swastikas, the Confederate flag, a white supremacist logo and "go back to Africa" were also found scrawled in bathrooms, lockers, workplace benches and lunch tables.
Watson listed a long string of racial epithets workers said were directed personally at them, including one incident where a Black worker said he was asked: "You want to hang from a tree?"
"Despite what Tesla might argue, you will hear Black workers were deeply offended," Watson said. "These experiences cannot be dismissed as a few bad apples … hundreds of complaints to Tesla and [the Civil Rights Department] will show these experiences were not isolated."
Watson said Black employees at Tesla experienced "rampant racism" that was left unchecked for years. Workers referred to the factory as a "slaveship", "the plantation" and "The Elon Slave Labor Association" – spelling out TESLA. One Black worker told state lawyers that he heard racial slurs as often as 50-100 times a day.
Tesla Denies Wrongdoing as Trial Proceeds Without Jury
The lawsuit was filed against Tesla in February 2022 and alleges that the company did not comply with the law, violating California's Fair Employment and Housing Act. It alleges that the factory was racially segregated and Black workers were paid less, promoted less and terminated more frequently than their white counterparts.
The state is seeking financial damages and injunctive relief, which could force Tesla to change its labor practices and internal policies. Judge Peter Borkon will make the final ruling in the bench trial, which proceeds without a jury.
It is the first such lawsuit brought against Tesla by a government agency on behalf of dozens of workers. Legal experts say the outcome of the trial could have sweeping consequences for the company since the state is not bound by the same arbitration agreements as employees. The trial is expected to continue through the end of October.
Tesla has denied any wrongdoing and called the lawsuit "misguided", saying it has "always disciplined and terminated employees who engage in misconduct, including those who use racial slurs or harass others in different ways". Tesla said its Fremont factory has a majority-minority workforce and provides "the best paying jobs in the automotive industry" to tens of thousands of Californians.
Tesla's Defense: State Attacks How Black People Greet Each Other
Tyree Jones, the lead lawyer for Tesla, began his opening statements repeatedly saying the N-word in a familiar tone. "What's up my [N-word], my [N-word] …," Jones said, adding that "none of which is used as a racial slur."
"By this action, the state of California attacks the way many Black people greet each other," Jones said. "It's offensive."
Jones touted Tesla's accomplishments as an innovative electric car manufacturer and reiterated that the company provides thousands of jobs in the state. "The most prolific employer of California is on trial and under attack by the state," Jones said. Referring to the racist graffiti around the factory, Jones said: "The state is blaming the employer, when it's the victim."
Background of Discrimination Suits Against Tesla
This lawsuit is one of dozens of discrimination suits brought against Tesla, including a case brought by the Equal Employment Opportunity Commission, a federal agency. The suits allege the company has routinely ignored complaints of repeated racial harassment. In 2022, a federal jury awarded Owen Diaz, a former Tesla employee, $137m for these claims – one of the largest awards given in a discrimination lawsuit by a single worker, although a judge later reduced that sum.
Similar suits have been filed by female employees, who allege they experienced physical assaults, harassment and catcalling at Tesla facilities across the country.
Tesla has denied wrongdoing in all cases, and has said it implemented various policies in recent years to prevent racist and sexist conduct and punish it when it does occur.
Musk, who joined Tesla in 2004 and became the CEO in 2008, has also been accused of racist behavior, including promoting white supremacist conspiracy theories like "white genocide". The CEO also tends to broadcast his thoughts on X, a social media platform he owns, fixating on anti-immigrant content and theories that the white race is under threat.
Musk is not expected to be called as a witness in the trial. He hasn't publicly addressed the legal proceedings under way and did not return a request for comment.
