Tesla is facing a major civil rights lawsuit due to years of alleged rampant racist behavior against dozens of Black employees at its flagship Fremont assembly factory in California.

During opening statements on Monday, California Civil Rights Department attorney Brett Watson presented evidence of severe workplace harassment at Tesla, as reported by The Guardian. Photos and court documents revealed swastikas carved into factory surfaces, widespread use of the N-word, images of Confederate flags and other white supremacist symbols across the Fremont plant.

Black employees reported receiving harassing messages, such as: “Go back to Africa,” and “You want to hang from a tree?”

The allegations extend beyond harassment, as several Black workers say Elon Musk’s company subjected them to unequal pay and were given inferior job assignments and fewer opportunities for career advancement than other employees. Complaints of unchecked systemic racism at Tesla’s Fremont plant date back to 2012. The current lawsuit was filed 10 years later, in 2022.

This isn’t the first time Tesla has been involved in a legal battle over racial discrimination. Also in 2022, a former Tesla worker at the Fremont plant, Owen Diaz, was awarded over $3 million in damages for similar racial discrimination accusations.

Tesla has denied any wrongdoing, calling the lawsuit “misguided” and suggesting the company is the real victim.

Tesla’s lead attorney, Tyree Jones, countered the state’s claims during opening arguments by repeatedly uttering the racial slur to illustrate his defense. Jones argued that in the context of the factory floor, the N-word was frequently used as a casual greeting among Black workers rather than a derogatory insult.

Because this is a bench trial, no jury will be present throughout the case. Judge Peter Borkon will determine whether Tesla violated California’s civil rights laws. If the state wins, it’s very possible Borkon could force Tesla to overhaul its labor policies and HR practices.

Given that this is one of Tesla’s most prominent factories, the judge’s ruling could have ripple effects throughout Silicon Valley, impacting workplace equity policies, while also serving as a test of the state’s strict antidiscrimination laws. The trial is expected to conclude in late October.

Tesla and the California Civil Rights Department didn’t immediately reply to our request for comment.

Aaron is a writer for the streaming entertainment team. Previously, he wrote about TV and movies for places like Rotten Tomatoes, Inverse, TheWrap, Washington Post and The Hollywood Reporter. Aaron is also an actor and played a nerd on TV a lot in the ’90s. Seriously.

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