SpaceX is taking legal action against the National Labor Relations Board (NLRB) following accusations from the agency claiming that the Elon Musk-owned company unlawfully terminated employees. 

(Photo : Michael M. Santiago/Getty Images)
The National Labor Relations Board finds that SpaceX "illegally" kicked out its employees who criticized Elon Musk's post on X (Twitter's former name).

Initiating Legal Actions

In a federal court filing on Thursday, SpaceX asserts that the NLRB's actions are unconstitutional, as reported by The Verge.

SpaceX has filed a lawsuit asserting that the open letter served as a distraction to SpaceX employees around the country. The company argues that the NLRB's proceedings, which involve a hearing in front of an NLRB administrative law judge (ALJ), violate SpaceX's constitutional right to trial by jury. 

Moreover, SpaceX accuses the NLRB of contravening the Constitution's principles on the separation of powers, asserting that the agency's structure deviates significantly from the traditional understanding of the concept. The NLRB has chosen not to comment on the matter.

SpaceX seeks court intervention to declare the provisions limiting the removal of NLRB members and ALJs as unconstitutional. Additionally, the company requests the court to affirm that the NLRB's proceedings deprive SpaceX of its right to a fair trial. 

SpaceX is also urging the court to halt the ongoing proceedings. A hearing is scheduled in front of an NLRB ALJ on March 5th, 2024, with the option to appeal the decision to the board and subsequently a federal appeals court.

Also Read: NLRB says SpaceX Employees were Illegally Fired After Criticizing Elon Musk's Tweets

As a self-proclaimed advocate of "free speech absolutism," Fortune reported that Elon Musk confronts a paradox as allegations of stifling employee speech emerge against his companies, including SpaceX.

Past settlements, such as the curbing of an employee's expression and a case involving Musk's social media venture X, underscore the ongoing conflict between Musk's avowed commitment to free speech and the accusations of suppressing workers.

Receiving Complaints from NLRB

The NLRB complained on Wednesday, alleging that SpaceX unlawfully fired a group of employees for drafting an open letter critical of Elon Musk's conduct. 

The complaint alleges 37 violations of labor laws. These include coercive statements, implied threats, unlawful instructions, interrogation, creating an atmosphere of surveillance, and reprisals against those participating in protected concerted activity.

The complaint further contends that SpaceX interrogated employees about their involvement in the letter and encouraged them to resign if engaged in organized activities. NLRB complaints can have significant implications for companies accused of unfair labor practices.

The legal clash involving SpaceX not only hangs in the balance the destiny of terminated employees but also illuminates the broader interplay between corporate management and the rights of employees to express themselves collectively.

The employees who assert that SpaceX unjustly terminated them are far from concluding their battle. Investigations into the unfolding events will continue over the coming months, unraveling the complexities of the incident.

Related Article: SpaceX Faces NLRB Accusations Over Wrongful Termination Due to Elon Musk Criticism