Former Tesla Employee Sees Racism Damages Minimize From $137M To $15M

Former Tesla Employee Sees Racism Damages Minimize From $137M To $15M


A former Tesla contract employee who had been awarded $137 million in damages over racial abuse final October now has to resolve whether or not he’ll settle for or reject a diminished $15 million award.

On June 7, a federal decide gave Owen Diaz, a black former elevator operator at Tesla’s Fremont manufacturing unit in California, two weeks to resolve whether or not to just accept $15 million, far under what a jury had awarded final yr.

The diminished award contains $1.5 million of compensatory damages and $13.5 million of punitive damages. In line with Reuters, US Districk Decide William Orrick from San Francisco mentioned Owen Diaz recognized no “controlling query of legislation” to justify a right away attraction of the diminished damages.

A federal jury in San Francisco had awarded Diaz $6.9 million of compensatory damages and $130 million of punitive damages in October 2021, however the federal decide diminished each on April 13; he additionally rejected Tesla’s bid for a brand new trial.

William Orrick mentioned within the June 7 order that he was “firmly satisfied” that the jury award was extreme, including that permitting a fast attraction “would additional delay decision of a case that’s already 5 years outdated.

Owen Diaz’s attorneys have not commented on the decide’s order but, however they beforehand mentioned {that a} query of legislation regarding damages for emotional misery justified a right away attraction.

The previous Tesla contract employee alleged that he was subjected to a hostile work setting by colleagues and a supervisor on the Fremont plant in 2015 and 2016.

Diaz mentioned that he needed to cope with racial slurs, caricatures and swastikas in his 9 months working at Tesla’s manufacturing unit in Fremont, California in 2015 and 2016. In the course of the trial, he mentioned that he confronted “each day racist epithets,” together with the “n-word,” and noticed swastikas and racist graffiti and drawings across the plant. He added that supervisors didn’t cease the abuse.

Again in October 2021, Tesla referred to as the preliminary verdict not justified and mentioned that when Diaz complained about harassment, the corporate took motion by firing two abusive contractors and suspending a 3rd.


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September 2022