Tesla Inc (TSLA.O) has been hit with another racial discrimination lawsuit, this time by a former general manager, John Goode. In his lawsuit, filed in San Francisco federal court on Thursday, Goode alleges that he was fired for standing up to racist comments made by his white supervisor. Goode was the general manager of a Tesla service center near Atlanta before being terminated on March 3rd.
The lawsuit comes amidst an ongoing trial involving a Black former elevator operator at Tesla’s Fremont, California factory, Owen Diaz. Diaz was awarded $137 million by a jury in 2021 for racial harassment, but the payout was later reduced to $15 million. The trial is scheduled to wrap up on Friday. Tesla denied wrongdoing in that case and said the California Civil Rights Department lawsuit was politically motivated.
Goode’s lawsuit alleges that his white regional manager made offensive comments throughout 2022. According to the complaint, the manager said Black people “are only good at sports and entertainment” and “just scream and holler in church.” Goode claims that in October of last year, the same manager blocked him from interviewing for a promotion that ultimately went to a white worker.
Goode says he told the manager that his racial comments were unprofessional and, weeks later, was suspended and then fired for being late in turning in expense reports. Goode asserts that Tesla’s company policy does not set a deadline for the reports.
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The lawsuit seeks damages for lost wages and benefits, emotional distress, and punitive damages. It alleges violations of California and federal laws banning workplace race discrimination and retaliation.
Tesla has faced a series of discrimination lawsuits in recent years. The company has denied wrongdoing in those cases and said it does not tolerate discrimination, taking action when workers complain. However, the proposed class action by Black workers and the lawsuit by the California state agency alleging widespread race discrimination at the Fremont plant remain pending.
It remains to be seen how Tesla will respond to this latest lawsuit. The company has yet to comment on Goode’s allegations. However, given the gravity of the accusations and the company’s history of discrimination lawsuits, it is likely that Tesla will face increased scrutiny from regulators, investors, and the public alike.
