A Tesla Inc (TSLA.O) shareholder sued the electric car maker, Chief Executive Elon Musk and its board. Accusing them of neglecting to tackle complaints about workplace discrimination and harassment, and engendering a “toxic workplace culture.”
Racist, sexist abuse and prejudice against Tesla’s own employees have resulted in the company’s toxic workplace culture.,” the investor, Solomon Chau, said. This toxic work environment has gestated internally for years, and only recently has the truth about Tesla’s culture emerged,”.
“Tesla’s toxic workplace culture has caused financial harm and irreparable damage to the company’s reputation.”
Tesla did not immediately respond to an email seeking comment outside regular U.S. business hours. Kendall Law Group PLLC, the lawyers representing Chau, were not available outside regular U.S. business hours. Tesla has said it does not tolerate discrimination and has taken steps to tackle workers’ complaints.
They ignore the warning signs regarding internal accusations of discrimination and harassment. The defendants, Musk, 11 Tesla board members, and the business are charged with breaching their fiduciary duties.
This caused Tesla to lose high-quality employees and incur costs for defending cases and settling fines for violations.
The case is Chau et al v. Musk et al, US District Court, Western District of Texas (Austin), 1:22-cv-00592.
-Reuter.
