Elon Musk’s SpaceX Faces Labor Complaint Over Employee Firings
In a recent development, the U.S. National Labor Relations Board (NLRB) has lodged a complaint against SpaceX, the aerospace manufacturer led by Elon Musk, accusing the company of unlawfully terminating eight employees. The NLRB asserts that these firings occurred after the employees authored an open letter expressing criticism of Musk and alleging selective tolerance of sexual harassment within the workplace.
The complaint, obtained by CNBC through a Freedom of Information Act request, states that the SpaceX employees engaged in “concerted activities for mutual aid or protection” by drafting and circulating the open letter outlining their concerns about the work environment.
The letter, which was initially circulated internally at SpaceX, highlighted the employees’ discontent with Musk’s public behavior, citing it as a source of distraction and embarrassment. The employees raised concerns about Musk’s divisive social media posts and accused him of alleged sexual misconduct, which they claimed contradicted SpaceX’s stated policies of “no a-holes” and “zero tolerance.”
This critique gained attention following a Business Insider report in which Musk was accused of inappropriate behavior towards a flight attendant on a private jet in 2016, resulting in a settled sexual harassment claim against him in 2018.
Despite Musk’s denial of the misconduct allegations, the NLRB’s investigation found that SpaceX management engaged in coercive practices against the authors of the open letter. The NLRB complaint alleges that SpaceX illegally terminated these employees for engaging in protected speech.
Notably, Musk, who presents himself as a proponent of free speech, has faced scrutiny for his companies’ attempts to suppress critical voices. CNBC previously reported instances where Musk-owned social network X (formerly Twitter) suspended accounts that shared critiques of Musk or his businesses.
In response to the firings, the terminated SpaceX employees, represented by attorney Laurie Burgess, have filed a complaint with the California Civil Rights Department, accusing SpaceX of failing to address sexual harassment within the company.
SpaceX has yet to respond to requests for comment, and the California Civil Rights Department has not provided immediate feedback on the matter. The NLRB spokesperson revealed that the labor agency’s Los Angeles regional director issued the consolidated complaint against SpaceX on Wednesday, triggering efforts to reach a settlement between SpaceX and the terminated employees. Should no settlement be reached, a hearing before an NLRB administrative law judge is scheduled for March 5 in Los Angeles, with the possibility of further appeals.
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