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Riverside County Employment Lawyers > Blog > Employment Lawyer For Employers > Tesla Moves to Pause Discrimination Lawsuit in California Federal Court

Tesla Moves to Pause Discrimination Lawsuit in California Federal Court


On December 19, 2023, Reuters reported Tesla—the now Texas-based electric vehicle manufacturer—has filed a motion to get a major employment discrimination case dismissed from a federal court in California. Here, our Riverside County employment law attorney for employers explains the case in more detail.

Tesla Moves for Pause of Discrimination Lawsuit in Complex Federal Case 

Before relocating its corporate headquarters to Austin, Texas, Tesla was based in the San Francisco Bay Area. The company still has many employees in California and it is still tied up in complex employment litigation. Most notably, the company faces accusations that it allowed the racial harassment of African American workers  and permitted sexual harassment of workers at a California assembly plant.

In a recent court filing, Tesla argued that the EEOC acted hastily and out of competitive motives with a California civil rights agency by, effectively, filing a duplicative employment discrimination lawsuit. Tesla is seeking an injunction to effectively delay the EEOC’s racial discrimination case until the ongoing case with the California civil rights agency is resolved.

Tesla’s legal filing hinges on the belief that proceeding with the federal lawsuit at this time would be an inefficient use of court resources and, potentially, could lead to conflicting rulings. It should be noted that the electric vehicle manufacturer has consistently denied all wrongdoing.

Insight for Employers: Litigation is Complicated; Proactively Preventing Complaints is Key 

When employers think about litigation, they often picture long, complex legal battles that drain resources and damage reputations. Discrimination complaints lead to a particularly challenging type of litigation, often drawn out over years, that no employer wants to face. A proactive approach can make the difference. Here are some insights for employers seeking to put the proper workplace practices in place:

  • Implement Clear Policies: Employers in California should establish clear, written policies that outline what constitutes prohibited discrimination and harassment.
  • Regular Training: Conducting regular training sessions for both employees and management is essential. Notably, certain types of training are required by law.
  • Open Channels of Communication: Create a safe and confidential way for employees to report discrimination or harassment. Employees should feel confident that concerns will be taken seriously.
  • Prompt and Fair Investigations: When a complaint is made, conduct a thorough and impartial investigation immediately. A time-sensitive and impartial investigation puts employers in a far better position to resolve a matter outside of litigation.
  • Consistent Discipline: If an investigation confirms a potential or actual violation of your discrimination policies, enforce disciplinary measures consistently, regardless of the employee’s position.
  • Review and Adapt: Laws and best practices evolve. With that in mind, your company’s procedures should evolve too. Regularly review your policies and training programs to ensure they are up to date.

 Contact Our Riverside County Employment Attorney Today

At the Law Office of Karen J. Sloat, APC, our California employment lawyer is committed to helping employers find solutions. If you have any questions about a workplace matter or workplace dispute, please do not hesitate to connect with us online for a confidential consultation. We provide employment law support to employers in Coachella Valley, Riverside County, and all over California.



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