The luxury electric carmaker Tesla is facing a lawsuit from one of the employees it fired earlier this month when hundreds of workers, including associates, team leaders, and supervisors, were told they were being fired as part of the company’s annual performance review process.
Tesla fired hundreds of workers within a week due to poor performance. This made the workers angry and now they are speaking out because they feel that it is unfair and restrictive.Tesla claims that the firing process is a part of normal performance review process, but the workers claim that there were no reviews conducted.
The group delivered a letter to Tesla declaring the firings intentional and accusing the company of targeting employees who complained about the working conditions at the factory, and asking that those employees be reinstated.
Tesla is also facing various protests, lawsuits, and federal complaints from the former workers. Several current and former employees said that Tesla’s recent actions were not targeted at low-performing employees.But according to their company, there is a number of workers who also received bonuses and promotions following their reviews.
Many of the current and former employees told that their dismissals came with little or no warning and were unrelated to performance. Some mentioned they were fired weeks before stock options vested.
Employment lawyers state that it’s unusual to fire hundreds of employees within weeks for performance issues. But Tesla has nothing to say about it.
Tesla’s stock also closed down slightly after news that it fired many workers within a week as a result of annual performance reviews. Due to the firings, the company is currently experiencing a delay in the upcoming sedan Model 3.
The turnover comes as the electric-car company is ramping up production of the Model 3 sedan, it’s the very first type of luxury mass market.
Tesla posted disappointing production numbers for the Model 3 last week, having completed just 260 examples of the car. The company had previously said it would produce 1,500 in September and increase the production up to 20,000 per month by December.
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