However, while Elon Musk's company "continues to lose money and grapple with production woes", every car that rolls off Tesla's production line "arguably spurs the rest of the auto industry to innovate, adding value for all stakeholders, including investors". According to Bloomberg, goals of the suit include punitive damages as well as the implementation of Tesla company policies to prevent workplace racism in the future.
"Although Tesla stands out as a groundbreaking company at the forefront of the electric car revolution, its standard operating procedure at the Tesla factory is pre-Civil Rights era race discrimination", the employee said in the complaint, filed Monday in California's Alameda County Superior Court.
The suit references an e-mail that CEO Elon Musk allegedly sent to Fremont factory workers addressing complaints of a toxic culture.
"Part of not being a huge jerk is considering how someone might feel who is part of [a] historically less represented group", Musk wrote. Further, these two trendlines are converging in the $320-$330 area, which is where TSLA was trading before its last earnings bear gap, and an area that's acted as both support and resistance for the past few months.
Tesla has not responded to reporters' request for comment about the lawsuit.
And in October, three former workers said the Tesla factory is a hostile environment for black employees, claiming little was done to stop others from routinely calling them the n-word and making other racially insensitive remarks.
The lawsuit was filed in the California state court in Oakland on Monday (13 November) and is at least the third filed this year by black workers.
Shares of Tesla closed down 2.1 percent on Tuesday afternoon following news of a civil rights lawsuit against the automakers. Tesla has categorically denied these allegations.
The CEO informed the blog that he intends to publish the results of the probe later this week.
However, Tesla is hoping to turn the tide on Thursday, Nov. 16, with the company planning to unveil the Tesla Semi via live webcast.
"When you have a diverse workforce, you need to take steps to make sure everyone feels welcome in that workforce", he said. In the automotive world, that's not a win and the long lead time could affect the company's health long term which could impact the battery and solar panel portions of the company.
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