The trading day on Tuesday 21 June 2022

Tesla he is pilloried in Texas on suspicion of unannounced mass layoffs. According to the lawsuit, two former workers said they were fired in June at the Sparks Gigafactory without warning. As a result, Tesla put more than 500 employees on the road in June. Under US labor law (“Worker Adjustment and Retraining Notification Act”), a notice period of 60 days is required for such mass layoffs. “Tesla simply informed employees that their terminations would go into effect immediately,” the lawsuit reads. Former employees are filing a class action.

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They ask for wages and benefits for the 60 days. “It is quite shocking that Tesla so blatantly violates federal labor laws by firing so many workers without meeting the required notice period,” said attorney Shannon Liss-Riordan, representing the plaintiffs. Tesla is offering some employees a one-week severance pay. You are therefore preparing an emergency application so that the group cannot redeem itself with the low severance pay. Tesla boss Elon Musk announced earlier this month that he would be cutting thousands of jobs at the electric car maker out of fear of a recession.

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