Elon Musk, CEO of SpaceX, discusses collective bargaining and the future of unions. The podcast also covers the ongoing trial involving E. Jean Carroll and Trump, Musk's influence on Twitter, workplace safety violations at Tesla, the valuation of SpaceX, and the National Labor Relations Act.
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Quick takeaways
SpaceX employees were terminated for criticizing Elon Musk's tweets, leading to a year-long investigation and a hearing for retaliatory termination.
The National Labor Relations Board has the power to protect employees' collective bargaining rights through injunctive relief.
Elon Musk's lawsuit against the NLRB is seen as part of a trend of wealthy individuals misusing the legal system.
Deep dives
Retaliatory Termination of Employees
Several SpaceX employees were terminated after circulating an open letter criticizing Elon Musk's tweets and calling for the no asshole policy and zero tolerance policy to apply to upper management. The company allegedly fired the employees and engaged in retaliation and intimidation tactics, including coercive statements and interrogations. The National Labor Relations Board (NLRB) concluded after a year-long investigation that there was sufficient evidence of wrongful retaliatory termination. The cases have been consolidated, and a hearing before an administrative law judge is set for March 5th, 2024.
National Labor Relations Act and NLRB
The National Labor Relations Act (NLRA) protects the right of workers to engage in collective activities for mutual aid or protection, whether they are part of a union or not. Under the NLRA, the National Labor Relations Board (NLRB) addresses disputes related to workers' rights, including cases of interference with collective activities. In the SpaceX case, the NLRB investigated claims of retaliatory firing and determined that the evidence warranted a hearing. The NLRB has the authority to prevent unfair labor practices and may seek injunctive relief to protect employees' collective bargaining rights.
Hearing and Possible Injunctive Relief
A hearing before an administrative law judge has been scheduled for March 5th, 2024, regarding the retaliatory termination of the SpaceX employees who circulated the open letter. The National Labor Relations Board may seek injunctive relief to stop the employer from restraining the collective bargaining rights of its employees. If the relief is granted, the board may proceed to enforce the injunction through a court.
Elon Musk's Lawsuit Against the NLRB and Attack on Administrative State
Elon Musk has filed a lawsuit against the National Labor Relations Board (NLRB) claiming that the board is unconstitutional and the hearing set before an administrative law judge violates SpaceX's right to a trial by jury. The NLRB has moved to transfer the case out of the Southern District of Texas to the Central District of California. Experts predict that the case will be dismissed in California and SpaceX will likely lose any appeal to the Ninth Circuit. Musk's lawsuits are seen as part of a broader trend of wealthy individuals weaponizing the legal system for personal and ideological purposes.
The Value and Practices of SpaceX
SpaceX, a privately held company, is reportedly considering selling insider stock to third-party investors at a valuation of $180 billion. Critics question the company's valuation since its primary assets are government contracts. SpaceX's products include Falcon 9 rockets, Starlink satellites for satellite internet communications, and Starship as a long-term project for space colonization. Some argue that Musk's involvement in Twitter and his controversial management of the platform have had a negative impact on its social importance and credibility.
After a roundup including the first day of the E. Jean Carroll trial, Liz and Andrew break down the latest SpaceX lawsuit and discuss what it might mean for the future of collective bargaining.