SpaceX, a company that makes rockets and satellites, faces accusations from the National Labor Relations Board (NLRB) of wrongfully terminating eight employees who circulated a letter labeling founder and CEO Elon Musk as a "distraction and embarrassment."
NLRB Complaint on Workers' Rights
A regional official from NLRB filed a complaint asserting that SpaceX violated workers' rights under federal labor law by preventing them from coming together to advocate for improved working conditions. As per the complaint, the company dismissed the employees in 2022 for urging SpaceX to disassociate from social media remarks by Elon Musk, including one where he mocked sexual harassment accusations against him. The circulating employees' letter asked SpaceX, a company with over 13,000 employees, to clearly define its harassment policies and ensure consistent enforcement.
The labor board complaint stated that Gwynne Shotwell, the company's president and chief operating officer, unlawfully prohibited employees from sharing the letter, highlighting similar rule violations by other executives and managers. The complaint also claims that SpaceX questioned employees about the letter, spoke negatively about those involved, and warned of firing those engaging in similar actions, which SpaceX has not responded to yet.
SpaceX Settlement
The NLRB's prosecutor presented cases to the five president-appointed board members. If SpaceX refuses to settle, the case is set to be heard by an administrative judge in early March. If the NLRB determines that firings breached labor law, it can instruct reinstatement and back pay for workers. Otherwise, SpaceX may face more severe penalties in future cases if found guilty of violating the law.
One dismissed employee, Paige Holland-Thielen, stated, "I am hopeful these charges will hold SpaceX and its leadership accountable for their long history of mistreating workers and stifling discourse."
Long History of Elon Musk's Workers' Mistreatment
The case is the latest instance of Musk's companies being accused of violating employees' rights under labor and employment laws. In November, Reuters reported over 600 previously undisclosed workplace injuries at SpaceX, including incidents like crushed limbs, electrocution, head injuries, and a fatality. SpaceX did not provide comments on these findings.
X (Formerly Twitter)
Elon Musk has a history of being strict with his companies' employees, including laying off about half of the workforce. He later dismissed around two dozen internal critics after acquiring Twitter (now known as X) in 2022. The number of Twitter employees has since dropped by about 80% from the initial 7,500 when Elon Musk took control.
Tesla
Tesla faced accusations over firing an employee involved in union activity, which the board deemed unlawful and instructed Tesla to rehire the worker with back pay in 2021. The company is currently appealing the case.
SpaceX
SpaceX faced discrimination allegations against asylum-seekers and refugees in its hiring practices in August. However, a judge has issued an injunction preventing the case from progressing further.
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