Two former Tesla employees have filed a lawsuit against the electric vehicle maker after being laid off at the Nevada Gigafactory.
The lawsuit states that the company’s decision to lay off more than 500 employees in May and June without providing appropriate notice violated their rights.
The key issue, according to Reuters, was Tesla’s decision to terminate these employees “immediately.” The Worker Adjustment and Retraining Notification Act, according to the lawsuit, requires firms to provide at least 60 days’ notice for any major layoff.
“Tesla has simply notified the employees that their terminations would be effective immediately,” the complaint said.
The lawsuit also seeks class-action standing, intending to include all Tesla employees who were laid off in May and June.
Tesla CEO Elon Musk tweeted earlier that he had a “super bad feeling” about the economy and that roughly 10% of Tesla’s staff could have to be laid off.
Additionally, Musk just addressed an internal email to all Tesla employees requesting that they return to work immediately and that any who chose to work from home may find new jobs.