Home » US business news • US Employment News » DOJ files lawsuit against Elon Musk’s SpaceX alleging hiring discrimination
DOJ files lawsuit against Elon Musk’s SpaceX alleging hiring discrimination
https://www.whatjobs.com/news/usa/us-business-news/doj-files-lawsuit-against-elon-musks-spacex-alleging-hiring-discrimination
By Nithya Bose in US business news, posted August 25, 2023
The US Department of Justice has sued Elon Musk's SpaceX over alleged discriminatory hiring practices against refugees and those granted asylum in the US.
The lawsuit says between 2018 and 2022, SpaceX “wrongly claimed” that export control laws limited its recruitment to US citizens and lawful permanent residents.
The DOJ initiated its investigation into SpaceX back in June 2020.
This was after receiving a complaint of employment discrimination from a non-US citizen.
Read More: American Airlines Files Lawsuit Against Skiplagged Over Alleged Customer Deception
Kristen Clarke, assistant attorney general of the DOJ’s Civil Rights Division, said: “Our investigation found that SpaceX failed to fairly consider or hire asylees and refugees because of their citizenship status and imposed what amounted to a ban on their hire regardless of their qualification, in violation of federal law.”
Clarke added the DOJ’s probe found “SpaceX recruiters and high-level officials took actions that actively discouraged asylees and refugees from seeking work opportunities at the company.”
SpaceX hired "only one individual"
According to data SpaceX provided, the DOJ said out of over 10,000 hires during a nearly four-year period, the company “hired only one individual who was an asylee and identified as such in his application.”
This recruitment occurred around four months after the DOJ initiated its investigation.
Read More: LinkedIn Under Legal Scrutiny Over Discrimination In Diversity Data Collection
The lawsuit was filed with the Executive Office for Immigration Review, a division of the DOJ that handles immigration cases.
The DOJ's suit looks for remedies including fair consideration and back pay for asylees and refugees.
It focuses on those who may have been deterred or denied employment due to alleged discrimination by SpaceX.
It also seeks civil penalties and policy changes within the Elon Musk-led company.
In 2021, the DOJ's Immigrant and Employee Rights Section alleged that SpaceX was obstructing a subpoena related to the investigation.
Need Career Advice? Get employment skills advice at all levels of your career
It had requested a judge to compel SpaceX to provide documents related to its hiring practices.
SpaceX tried to dismiss the suit
SpaceX had petitioned a DOJ administrative tribunal to dismiss the subpoena.
Lawyers claimed it exceeded the scope of the authority of the DOJ's Immigrant and Employee Rights Section.
The petition was denied.
The probe started after a non-US citizen with dual citizenship from Austria and Canada who was a lawful permanent US resident complained.
Fabian Hutter accused the firm of discriminating against him during a job interview in March 2020.
He said he was he was questioned about his citizenship status.
Follow us on YouTube, Twitter, LinkedIn, and Facebook.
