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Tesla Violated Labor Laws, Judge Rules

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A California labor judge ruled that Tesla violated the National Labor Relations Act many times. Administrative Law Judge Amita Baman Tracy also ruled that a tweet in May 2018 by CEO Elon Musk violated the labor laws.

According to the Court, the luxury electric car maker and Musk threatened employees when they attempted to unionize. The court has now asked the company to hold a meeting to inform workers that it violated labor laws several times as well as to advise workers of their rights, in which Musk is required to attend.

The ruling follows complaints filed by the United Auto Workers union about unfair labor practices.

The court ruled that Tesla's multiple violations in 2017 and 2018 include prohibiting employees from handing out leaflets in their off-hours, as well as interrogating employees about their union activities.

Further, in his old tweet, Musk had said, "Nothing stopping Tesla team at our car plant from voting union. Could do so tmrw if they wanted. But why pay union dues & give up stock options for nothing?"

The judge noted that the tweet indicated that employees would lose their stock options if they voted to unionize.

Tracy wrote, "Musk's tweet can only be read by a reasonable employee to indicate that if the employees vote to unionize that they would give up stock options. Musk threatened to take away a benefit enjoyed by the employees consequently for voting to unionize."

The Judge now asked the company to cease and desist its actions against employees. It also urged the firm to fully reinstate an employee fired for union activities and to compensate.

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