Tesla is defending Elon Musk’s anti-union tweet all the way to the Fifth Circuit
Tesla is taking up a fight to defend Elon Musk’s tweet that threatened to remove employee stock options if they decide to unionize all the way to the Fifth Circuit court of appeal.
This is coming out of an old fight dating back to the UAW’s last unsuccessful push to unionize workers at Tesla’s Fremont factory and other locations.
Amid that push in 2017-2019, Tesla fought back the effort with what the union considered to be illegal tactics.
They filed a complaint with the National Labor Relation Board (NLRB), which eventually sided with the union and found that Tesla violated labor laws.
The violations included preventing the distribution of union materials, terminating employees due to union support, and, finally, a specific tweet posted by Tesla CEO Elon Musk.
The tweet in question stated that Musk is fine with Tesla workers unionizing, but he believes that they wouldn’t because they would have to “pay union dues and give stock options for nothing”:
This has been perceived as a threat that Tesla would remove employee stock options if employees unionize.
The NLRB doesn’t have any authority to impose punitive damages on Tesla or executives, but it ordered a cease and desist of those activities, which included the removal of that tweet.
The ruling was upheld by the court, but now the Fifth Circuit court has granted a reconsideration and will be hearing from both sides.
Bloomberg Law summarized Tesla’s case, which seems to rely on the fact that Musk wasn’t directly threatening Tesla employees and only responding to a non-employee on Twitter.
The company also appears to argue that the ruling was “politically motivated”:
“It would be backwards, under the Constitution’s separation of powers, to afford more deference to the findings of politically motivated executive branch officials than courts afford to findings by judges and juries,”
Going all the way to the Fifth Circuit Court of Appeals seems like a lot to defend a single tweet, but some see the issue as much bigger.
Kara Rollins, an attorney with the New Civil Liberties Alliance, which is backing Tesla, said this about the case:
“This is really about fundamental First Amendment interests in relation to the National Labor Relations Act, which has some limited speech controls. This case looks at that provision of the NLRA and the First Amendment through the lens of social media.”
The case is currently being considered by the court, but it could be a while before we get a ruling.
The new look at the case comes amid Tesla’s preparation to fight back against another unionization effort from UAW after their big win against the Big Three in Michigan. UAW has made it clear that it is now setting its sights on non-unionized automakers in the US and there’s none bigger than Tesla.
Electrek’s Take
At the fear of stating the obvious: I am not a First Amendment lawyer. So, take my comments with a grain of salt.
But to me, the tweet is more than Elon exercising his right to comment on unions. He is stating that employees would forfeit their stock options if they decide to unionize. He is saying that as if it’s obvious that it’s either union or stock options, while there’s no reason why it couldn’t be both.
It does sound like a threat, which could affect how Tesla employees approach the possibility of unionizing.
I don’t know if unionization is the right path for Tesla. I think the right of workers to bargain collectively is of the utmost importance, but I also think that employers have the capacity to treat their employees fairly in the first place, which wouldn’t require unionization.
Comments like that from Elon don’t seem to contribute to a positive outcome either way though.
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With its tire-blistering acceleration and record-setting performance, the Xiaomi SU7 Ultra has been getting attention throughout the auto industry, impressing everyone who’s seen it. That “everyone” now seems to include the OG supercar brand, itself.
CarNewsChina posted pictures from a Weibo user that reportedly show a Xiaomi SU7 Ultra exiting the storied Ferrari factory in Maranello, Italy. According to a Chinese blogger going by 西米露在博洛尼亚 (which seems to translate to “Sago Dessert in Bologna”), the prancing horse brand is actively benchmarking the Chinese hypercar for its own upcoming EV.
The SU7 Ultra was definitely coming from inside Ferrari’s facility. After verification, we learned this specific vehicle was officially purchased by Ferrari for testing, and the development of their next-generation electric platform.
Yet another Chinese auto blogger, 苏黎世贝勒爷, claims that Ferrari representatives visited Xiaomi headquarters last year, allegedly to discuss the joint development of next-generation high-performance EV motors.
The Xiaomi SU7 Ultra made its debut last year, promising 1,548 hp, sub 2.0-second 0-60 mph times, and a top speed well over 200 mph – all at a price lower than a Tesla Model S Plaid or Porsche Taycan Turbo GT. The car sold out almost immediately after it was unveiled, racking up some 50,000 orders almost overnight.
The new electric benchmark
In the automotive world, “benchmarking” is a process in which car companies systematically tear down each others’ competitive products to compare everything from sound insulation, vehicle ride and handling, component materials, and even manufacturing methods against their own or against other industry leaders. The goal is to evaluate performance, cost, quality, and other key metrics, effectively figuring out “where they stand” in the market.
If Ferrari really did buy an SU7 to benchmark it against their own upcoming electric supercar, it’s more than just a curiosity – it could mean that the highest tiers of automotive innovation have shifted from West to East. Maybe forever.
Featured image via Xiaomi; sources throughout the post.
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We’re finally getting our first teases of the upgraded 2027 Chevy Bolt, built on GM’s battery/motor platform formerly known as Ultium. So far, so good for the vehicle, which will be revealed later this Fall.
Chevy took to social media today to tease the 2027 Chevy Bolt, saying, “You asked, we listened. The #ChevyBolt is back and better than ever. More this fall. 👀”
Chevy ended the original Bolt program with the 2023 model, which was loved by a loyal group of customers (including myself). Some of the major gripes, including charging speed and rear brake lights, already look to be addressed. Also, a new more aggressive fascia is debuting.
Electrek’s take
GM has done an incredible job keeping the 2027 Bolt under wraps. It will be the first GM vehicle with a native NACS port after the Cadillac Optiq-V, which we spied in Seattle last week.
Hopefully, the new Bolt will have improved charging speeds over and above the 54kW that previous Bolts adhered to. One possible downgrade is that the old Bolt’s amazing wireless CarPlay/Android Auto system will likely be replaced by GM’s move to Android’s built-in experience. For a few years, the Chevy Bolt was the most affordable long-range EV, and it won our 2022 Electrek car of the year for its versatility and price.
I would, of course, like to see the new Bolt as a hot hatchback, but GM CEO Mary Barra has hinted that it will likely take more of the EUV’s SUV form factor. Things like AWD options, SuperCruise, pricing, power and range are yet to be revealed, but stay tuned to Electrek for the latest on Bolt developments.
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On today’s test-acular episode of Quick Charge, it’s a new day and a new Chinese ADAS test for Tesla to conquer – but this one’s got a LOT more pedestrian carnage to parse through! We’ve also got some great e-bike deals from Retrospec and a bladder-busting Hyundai.
Today’s episode is brought to you by Retrospec – the makers of sleek, powerful e-bikes and outdoor gear built for everyday adventure! To that end, we’ve got a pair of Retrospec e-bike reviews followed up by the updated Hyundai IONIQ 6 with nearly 350 miles of range from its updated long-range battery. With that, Hyundai now has the longest range Korean EV on the market, while Texas is adding megawatts of battery energy storage to beef up its troubled grid, and it’s doing so faster and cheaper than ever before.
Plus: Quick Charge listeners can get an extra 10% off the price of their next awesome e-bike by using code ELECTREK10 at retrospec.com!
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Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.
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