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What’s going on:Â Â
On Monday, a jury trial will commence to figure out how much Tesla should pay out to a Black former employee who successfully argued in court that the electric car giant had allowed extreme racial abuse to run rampant in their Fremont, California facility. Â
According to Reuters, this case is one of a series of grievances lodged against the organizations owned by tech mogul Elon Musk, alleging issues with his workplace conditions.   Â
Why it matters:Â Â Â
A former elevator operator at the Tesla Fremont plant won the case against Tesla in a 2021 trial, citing harassment including racial slurs and racist caricatures. After being awarded $7 million for emotional distress and $130 million in punitive damages, the federal judge lowered the total award to $15 million.Â
Refusing to accept the lowered payout, the former worker decided to opt for a new trial on damages. Â
How it’ll impact the future:Â Â
Facing numerous allegations of racism from both a proposed class action lawsuit by Black workers and a lawsuit from a California civil rights agency, Tesla is denying any wrongdoing, and has said that the agency’s claim is politically driven. Â
There are several claims of relentless racial harassment of Black employees at Tesla’s facility in Fremont. Â
These allegations and this ongoing trial could prompt investors to carefully examine employment practices at corporations owned by Elon Musk.Â
