In its most recent regulatory filing, Tesla removed a mention of their “majority-minority workforce”.
In its annual 10-K filing, which was made public on Friday, the EV manufacturer deleted the following sentence: “With a majority-minority workforce, empowering our employee resource groups to take charge in driving initiatives that attract, develop, and retain our passionate workforce is vital to our continued success.”
The absence was initially reported by Bloomberg. No mention of encouraging diversity in the company’s recruiting policies can be found in Tesla’s most recent filing.
Tesla’s 2022 filing omits references to diversity and employee resource groups following Elon Musk’s critique of DEI
The company’s goal for 2022 was stated in the filing as being to “attract a pool of diverse and exceptional candidates.” It went on to say: “We also believe that our ability to retain our workforce is dependent on our ability to foster an environment that is sustainably safe, respectful, fair and inclusive of everyone and promotes diversity, equity and inclusion inside and outside of our business.”
Along with sponsoring employee resource groups across multiple locations, the 2022 filing also mentioned outreach to historically black colleges and universities and Hispanic serving institutions. These groups included Asian Pacific Islanders at Tesla, Black at Tesla, Intersectionality, Latinos at Tesla, LGBTQ at Tesla, Veterans at Tesla, and Women at Tesla.
“We engage these networks as critical business resources and sources of actionable feedback,” the statement continued. To reinforce this culture with our employees, we are also focusing on diversity initiatives in our supply chain to broaden our outreach and assistance to small- and large-scale suppliers from underrepresented populations.”
Although there is no mention of efforts to hire a diverse workforce in the most recent filing, the automaker did state that harassment and discrimination, including those based on sexual orientation and race, are not tolerated under its HR policy.
Shortly after its CEO criticised DEI on social media, Tesla decided to remove all mentions of employee resource organisations and minority personnel.
Elon Musk declares ‘DEI Must DIE’ in heated exchange with Mark Cuban, prompting Tesla controversy
Earlier this month, after a heated debate with billionaire Mark Cuban about similar efforts, Elon Musk claimed on X that DEI was “just another word for racism”.
Last month, Musk tweeted on X, “DEI must DIE.” “The point was to end discrimination, not replace it with different discrimination.” A request for a response from a Tesla representative was not answered.
Tesla has faced allegations of racism and sexism even though it has appeared to support DEI in the past. Due to claims of racism at the automaker’s Fremont facility, the US Equal Employment Opportunity Commission filed a lawsuit against Tesla last year.
Tesla faces civil rights lawsuit over racial discrimination claims in 2022, countering allegations as an attack; DEI team and workforce demographics come under scrutiny
Following “hundreds of complaints from Black workers regarding racial discrimination and harassment at the Fremont factory,” a California civil rights regulator sued Tesla in 2022.
At the time, Tesla said it reprimanded staff members who engaged in harassment or discrimination and referred to the California case as an attack on “the last remaining automobile manufacturer in California”.
The automaker also emphasised Tesla’s DEI team in 2022, citing data from 2020 that indicated almost 60% of the company’s staff was from underrepresented areas. Since then, Tesla has not released any additional data on the company’s demographics.
Resolving stalled issues: Moving past court cases
Notwithstanding Tesla’s assertions of disciplinary measures, the complaint highlights enduring problems within the company. This section explores the necessity for an all-encompassing strategy to address structural issues and establish a truly inclusive workplace.
Accountability and transparency
Tesla’s commitment to transparency is called into question by the absence of the latest demographic data. Employees, investors, and the general public are examples of stakeholders who want access to accurate and current information to hold the company responsible and build confidence in its equity promotion initiatives.
The possibility of redefining
Tesla has the chance to reframe its position on diversity and inclusion as it negotiates the murky waters of controversy. This present chapter examines Tesla’s ability to craft a story that places a premium on openness, responsibility, and a sincere desire to establish an inclusive workplace.
Creating the story for an authentically inclusive work environment
In conclusion, the uproar over Tesla’s wording change, Elon Musk’s controversial remarks, and the current legal disputes highlight the difficulties businesses confront in combating prejudice and promoting diversity. Tesla has the chance to craft a narrative that puts openness, responsibility, and a sincere desire to create an inclusive workplace for everyone first as it works through this complex problem.
(Tashia Bernardus)