Black Ex-Tesla Employee Rejects $15 Million Payout For Racial Discrimination Lawsuit

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A Black ex-employee of Tesla has decided to reject a $15 cardinal payout for a radical favoritism suit helium levied against the institution successful 2017.

Owen Diaz, who worked astatine Tesla’s Fremont, California, automotive works for 9 months betwixt 2015 and 2016, alleges that his co-workers spewed radical slurs astatine him and drew swastikas and the “N-word” connected bath walls.

In April, U.S. District Judge William Orrick ruled successful favour of Diaz, holding Tesla liable for failing to supply a harmless and neutral enactment environment. However, the justice slashed the archetypal $137 cardinal payout down to $15 million, saying the archetypal magnitude was “unconstitutionally large.”

Diaz’s lawyer Bernard Alexander told Reuters astatine the clip that Diaz planned to entreaty the $15 cardinal payout.

“The grant of $15 cardinal is important but does not travel adjacent to reflecting the harm caused to Mr. Diaz, oregon the reprehensibility of Tesla’s conduct,” Alexander said.

Earlier this month, Orrick told Diaz helium had 2 weeks to either judge oregon cull the payout. Diaz’s determination to cull it could pb to a caller proceedings implicit Tesla’s radical discrimination.

A 2018 New York Times investigation into Tesla’s alleged discriminatory enactment culture recovered that Black workers astatine the Fremont mill faced threats from chap employees, demeaning assignments and barriers that prevented them from advancing wrong the company.

At the clip of that report, Tesla denied the Times’ findings and told the insubstantial determination was nary grounds to enactment “a signifier of favoritism and harassment.”

Nevertheless, the California Department of Fair Employment and Housing filed a lawsuit against Tesla successful February, citing years of “rampant racism” astatine the Fremont factory.

Tesla CEO Elon Musk attracted further scrutiny successful June, amid the coronavirus pandemic, for telling employees successful a leaked email that they indispensable enactment successful the bureau a minimum of 40 hours per week oregon hazard being fired.

A screenshot of Elon Musk's email to Tesla employees.
A screenshot of Elon Musk's email to Tesla employees.


“Everyone astatine Tesla is required to walk a minimum of 40 hours successful the bureau per week,” Musk began. “Moreover, the bureau indispensable beryllium wherever your existent colleagues are located, not immoderate distant pseudo office. If you don’t amusement up, we volition presume you person resigned.”

Jessica Barraza, a Tesla employee, additionally filed a suit against the institution successful November 2021 alleging that Tesla fostered an situation of sexual harassment.

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