SpaceX Wrongfully Fired Employees Who Called Elon Musk 'Distraction And Embarrassment': US Labor Agency
Portfolio Pulse from Benzinga Neuro
The National Labor Relations Board (NLRB) has accused SpaceX of wrongfully firing eight employees who criticized Elon Musk's tweets, calling him a 'distraction and embarrassment.' The employees' letter claimed Musk's behavior contradicted SpaceX's diversity and workplace conduct policies. The NLRB alleges SpaceX interrogated and threatened employees over the letter. A hearing is set for March 5, unless SpaceX settles. If guilty, SpaceX could face penalties and be required to reinstate the employees with back pay. This adds to Musk's labor-related controversies, including Tesla's recent changes to equity awards and a legal dispute with a former employee.

January 04, 2024 | 4:33 am
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Tesla Inc faces scrutiny over labor practices, including ceasing merit-based equity awards and a legal dispute with a former employee. These issues, alongside SpaceX's NLRB allegations, may affect investor perception of Musk-led companies.
The labor controversies at SpaceX could indirectly affect Tesla's stock (TSLA) as both companies are associated with Elon Musk. Negative news surrounding leadership can lead to investor concern over management practices and company culture, potentially affecting stock performance in the short term.
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