The National Labor Relations Board (NLRB) has taken action against SpaceX, filing a complaint that accuses the company of unlawfully firing eight employees. The termination reportedly occurred after the employees authored and circulated an open letter addressing concerns about the work environment.
Key Takeaway
SpaceX is facing allegations of unjustly dismissing employees who voiced concerns about the public conduct of CEO Elon Musk, with the NLRB seeking resolution through a potential settlement or a scheduled hearing.
Allegations and Background
The complaint stems from an open letter distributed in June 2022, in which the employees expressed apprehensions about the impact of SpaceX CEO Elon Musk’s public conduct on the company’s standing. This came in the wake of allegations that SpaceX paid a $250,000 settlement to a flight attendant who accused Musk of sexual harassment.
An excerpt from the open letter reads:
“Elon’s behavior in the public sphere is a frequent source of distraction and embarrassment for us, particularly in recent weeks. As our CEO and most prominent spokesperson, Elon is seen as the face of SpaceX—every Tweet that Elon sends is a de facto public statement by the company. It is critical to make clear to our teams and to our potential talent pool that his messaging does not reflect our work, our mission, or our values.”
NLRB’s Claims
In addition to the alleged wrongful terminations, the NLRB asserts that SpaceX engaged in intimidating practices such as interrogation and surveillance of its employees. As a response to the complaint, the NLRB’s regional director in Los Angeles is pursuing a potential settlement with SpaceX. However, if a settlement is not reached, the company will be subject to a hearing before an administrative law judge in March.
