Tesla, one of the most important names in the electric car industry, has become the largest automobile company in the world, especially with the success it has achieved last year. Although this success still continues, the company has been on the agenda with undesirable news lately. Tesla could be in trouble for mass layoffs.
Tesla sued for mass layoffs
Tensions between Tesla and its employees have been escalating lately. So much so that the CEO of the company, which is the richest name in the world, Elon Musk, gave the signals of layoffs in the past weeks. Mass layoffs, it seems, happened in silence.
In the past weeks, Musk sent an email to senior executives at the company expressing his thoughts on the economy. The famous businessman, while evaluating his thoughts on the global economy as a “super bad feeling”, gave the signals that 10 percent of the company would exit in the e-mail he sent.
Tesla has been sued for mass layoffs by two of its former employees at the Gigafactory in Nevada, Reuters reported. According to the claims of two former employees, Tesla laid off more than 500 workers in violation of legal procedures.
Under federal law, companies are required to notify their employees at least 60 days in advance of the collective dismissal decision. According to two former employees, Tesla did not recognize this period. So much so that one of the workers who opened the case, John Lynch, was dismissed with a sudden decision on June 10.
On the other hand, the only problem in Tesla’s head is not limited to this. The company has repeatedly recalled its vehicles due to technical errors in the past. The case is under investigation by the National Highway Traffic Safety Administration, an agency under the guidance of US Secretary of Transportation Pete Buttigieg.