Tesla Inc (NASDAQ:TSLA) has filed a report with the SEC revealing the Equal Employment Opportunity Commission (EEOC) found the electric car giant to have cultivated an environment of workplace discrimination, similar to a complaint filed by the state of California against the company.
Tesla will now begin the required pre-filing conciliation process with the federal agency that enforces civil rights laws in the workplace.
EEOC findings "closely parallel" a lawsuit filed by California's civil rights agency, the Department of Fair Employment and Housing (DFEH), Tesla said in its second-quarter filing.
Tesla was investigated by the state agency for three years, receiving hundreds of complaints from workers and reportedly finding evidence of racism.
The California DFEH alleges that Tesla did not promote black workers to more senior positions in California despite their skills and experience; assigned black workers physically demanding, dangerous, and dirty work in their facilities and retaliated against workers who complained formally about their managers.
Tesla filed a motion to strike and demurrer this April, seeking to have the DFEH lawsuit dismissed. California is to hold a hearing on August 24.
In the event that the EEOC and Tesla cannot reach a resolution through this process, the agency may sue Tesla over its alleged civil rights violations.