Business & Tech

Telsa Calls Class-Action Lawsuit A 'Hot Bed of Misinformation'

California-based car manufacturer Tesla is defending itself against a class-action lawsuit filed this week.

FREMONT, CA -- A class-action lawsuit that claims Tesla is a “hotbed for racist behavior" is actually a "hot bed of misinformation," according to a blog post released Tuesday by the California-based car manufacturer. The lawsuit, which was filed Monday by black workers, said "they were addressed using racial slurs and that the company ignored their complaints," according to a Reuters article.

Led by ex-worker Marcus Vaughn who was fired by the company in October, the lawsuit filed in Oakland claims he "was routinely called the 'n-word' by supervisors and coworkers after he began working at the factory in April," according to the article.

Vaughn said he address his concerns to the company's human resources department but it was never addressed, Reuters reported.

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In a blog post released Tuesday, the company said it thoroughly investigated complaints and "immediate action was taken, which included terminating the employment of three of the individuals."

"Regarding yesterday’s lawsuit, several months ago we had already investigated disappointing behavior involving a group of individuals who worked on or near Marcus Vaughn’s team. At the time, our investigation identified a number of conflicting accusations and counter-accusations between several African-American and Hispanic individuals, alleging use of racial language, including the "n-word" and "w-word," towards each other and a threat of violence," the blog post read.

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The company also said all employees are "required to go through an anti-discrimination course. Our human resources team also conducts regular in-person spot training sessions when an allegation or complaint has been made, even if the evidence is not conclusive enough to warrant disciplinary action."

According to Reuters, the company is facing more than one lawsuit that claims discrimination against employees.

Founded by Elon Musk in 2003, the company known for its electric cars was ranked the fourth automaker in valuation.

--Photo by Richard Vogel/Associated Press

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