News
Tesla responds to $137M jury order over alleged racism in Fremont Factory
Tesla has issued a statement responding to a San Francisco jury’s recent decision, which ordered the company to pay $137 million to a former contract employee who worked at the Fremont factory. The former worker, Owen Diaz, had accused the company of ignoring the racial abuse that he suffered through while working at the California-based plant around 2015 through 2016.
The jury’s decision was related by Lawrence Organ, the plaintiff’s lawyer from the California Civil Rights Law Group. “It’s a great thing when one of the richest corporations in America has to have a reckoning of the abhorrent conditions at its factory for Black people,” Organ stated. Tesla’s lawyers have not issued a comment about the ruling as of writing.
The initial lawsuit alleged that Diaz, who worked as an elevator operator at the Fremont Factory for about a year in 2015 and 2016, was called a racial slur by a supervisor and other colleagues on a regular basis. The former employee also stated that other Fremont Factory workers had left derogatory cartoons depicting Black children around the facility.
The jury deliberated for about four hours before agreeing that Tesla had created a hostile work environment by failing to address the racism being faced by Diaz. The jury agreed that a total amount of $137 million — comprised of $130 million worth of punitive damages and $6.9 million for emotional distress — was sufficient for the case. Tesla is expected to appeal the order.
In response to the jury’s order, Tesla’s VP People Valerie Capers Workman posted a blog post on the company’s official website to explain some points about the case and the jury’s $137 million order. Workman noted that Diaz, as well as three other witnesses, testified at the trial that they regularly heard racial slurs on the Fremont factory floor. Such comments, however, were usually used by African-American workers amongst themselves.
The VP also admitted that racist graffiti was indeed found in the Fremont Factory’s bathrooms, which were, in turn, removed by janitorial staff. Workman added that Diaz had filed written complaints to his non-Tesla supervisors, which resulted in Tesla stepping in to address the reported issues. Two contractors were terminated and one was suspended as a result of the former contract worker’s complaints. Diaz had reportedly noted that he was “very satisfied” with the results of the investigations.
Ultimately, Workman stated that Tesla today is not the same as the Tesla that Diaz worked with back in 2015 and 2016. She also remarked that the company has rolled out a number of inclusivity programs designed to ensure that incidents such as those experienced by the former contract worker would not happen anymore. These include a set of new behavior and language policies that the company posted back in July, which explains how derogatory words — including those used among friends of the same race or gender — would no longer be allowed in Tesla.
“While we strongly believe that these facts don’t justify the verdict reached by the jury in San Francisco, we do recognize that in 2015 and 2016 we were not perfect. We’re still not perfect. But we have come a long way from 5 years ago. We continue to grow and improve in how we address employee concerns. Occasionally, we’ll get it wrong, and when that happens we should be held accountable.
“The Tesla of 2015 and 2016 (when Mr. Diaz worked in the Fremont factory) is not the same as the Tesla of today. Since then, Tesla has added an Employee Relations team, dedicated to investigating employee complaints. Tesla has added a Diversity, Equity & Inclusion team dedicated to ensuring that employees have the equal opportunity to excel at Tesla. And Tesla now has a comprehensive Employee Handbook (replacing the Anti-Handbook Handbook) where all of our HR policies, employee protections, and ways to report issues are published in one easy-to-find online document,” Workman wrote.
Tesla’s full statement on the $137 million jury order could be accessed here.
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Elon Musk
Elon Musk demands Delaware Judge recuse herself after ‘support’ post celebrating $2B court loss
A banner on the post read “Katie McCormick supports this,” using LinkedIn’s heart-in-hand “support” icon, an endorsement stronger than a simple “like.” Musk’s lawyers argue the action creates “a perception of bias against Mr. Musk,” warranting immediate recusal to preserve judicial impartiality.
Tesla CEO Elon Musk’s legal team has filed a motion demanding that Delaware Chancellor Kathaleen McCormick disqualify herself from an ongoing high-stakes Tesla shareholder lawsuit.
The filing, submitted March 25, cites an apparent LinkedIn “support” reaction from McCormick’s account to a post celebrating a $2 billion jury verdict against Musk in a separate California securities-fraud case.
The move escalates long-simmering tensions between Musk, Tesla, and the Delaware judiciary, where McCormick previously presided over the landmark challenge to Musk’s record $56 billion 2018 compensation package.
Delaware Supreme Court reinstates Elon Musk’s 2018 Tesla CEO pay package
The LinkedIn post was written by Harry Plotkin, a Southern California jury consultant who assisted the plaintiffs who sued Musk over 2022 tweets about his Twitter acquisition. Plotkin praised the trial team for “standing up for the little guy against the richest man in the world.”
The New York Post initially reported the story.
A banner on the post read “Katie McCormick supports this,” using LinkedIn’s heart-in-hand “support” icon, an endorsement stronger than a simple “like.” Musk’s lawyers argue the action creates “a perception of bias against Mr. Musk,” warranting immediate recusal to preserve judicial impartiality.
This appears to be unequivocal proof she denied the pay package because of her own personal beliefs and not the law.
Corruption. https://t.co/8dvgcfYuvh
— TESLARATI (@Teslarati) March 25, 2026
McCormick swiftly denied intentional endorsement. In a letter to attorneys, she stated she was unaware of the interaction until LinkedIn notified her. She wrote:
“I either did not click the ‘support’ icon at all, or I did so accidentally. I do not believe that I did it accidentally.”
The chancellor maintains the reaction was inadvertent, but critics, including Musk allies, call the explanation implausible given the platform’s deliberate interface.
McCormick’s central role in the Tesla pay-package litigation underscores the stakes. In Tornetta v. Musk, in January 2024, she ruled the 2018 performance-based stock-option grant, potentially worth $56 billion at the time and now valued far higher, was invalid.
The package consisted of 12 tranches of options, each vesting only after Tesla achieved ambitious market-cap and operational milestones. McCormick found Musk exercised “transaction-specific control” over Tesla as a controlling stockholder, the board lacked sufficient independence, and proxy disclosures to shareholders were materially deficient.
Applying the entire-fairness standard, she concluded defendants failed to prove the deal was fair in process or price and ordered full rescission, an “unfathomable” remedy she described as necessary to deter fiduciary breaches.
After the ruling, Tesla shareholders ratified the package a second time in June 2024. McCormick rejected that ratification in December 2024, holding that post-trial votes could not cure defects.
Tesla appealed. On December 19 of last year, the Delaware Supreme Court unanimously reversed the rescission remedy while largely leaving McCormick’s liability findings intact. The high court deemed total unwinding inequitable and impractical, restoring the package but awarding the plaintiff only nominal $1 damages plus reduced attorneys’ fees. Musk ultimately received the full award.
The current recusal motion arises in yet another Tesla derivative suit before McCormick. Legal observers say granting it could signal heightened scrutiny of judicial social-media activity; denial might reinforce perceptions of an insular Delaware bench.
Broader fallout includes accelerated corporate migration out of Delaware, Musk himself moved Tesla’s incorporation to Texas after the first ruling, and renewed debate over whether the state’s specialized courts remain the gold standard for corporate governance disputes.
A decision is expected soon; whichever way it lands, the episode highlights the fragile balance between judicial independence and public confidence in high-profile litigation.
News
Tesla Cybercab spotted next to Model Y shows size comparison
The Model Y is Tesla’s most-popular vehicle and has been atop the world’s best-selling rankings for the last three years. The Cybercab, while yet to be released, could potentially surpass the Model Y due to its planned accessible price, potential for passive income for owners, and focus on autonomy.
The Tesla Cybercab and Tesla Model Y are perhaps two of the company’s most-discussed vehicles, and although they are geared toward different things, a recent image of the two shows a side-by-side size comparison and how they stack up dimensionally.
The Model Y is Tesla’s most-popular vehicle and has been atop the world’s best-selling rankings for the last three years. The Cybercab, while yet to be released, could potentially surpass the Model Y due to its planned accessible price, potential for passive income for owners, and focus on autonomy.
Geared as a ride-sharing vehicle, it only has two seats. However, the car will be responsible for hauling two people around to various destinations completely autonomously. How they differ in terms of size is striking.
In a new aerial image shared by drone operator and Gigafactory Texas observer Joe Tegtmeyer, the two vehicles were seen side by side, offering perhaps the first clear look at how they differ in size.
Tesla Model Y vs. Tesla Cybercab:
✅ Overall Length:⁰Model Y: 188.7 inches (4,794 mm)⁰Cybercab: ~175 inches (≈4,445 mm)⁰→ Cybercab is about 13–14 inches shorter (roughly the length of a large suitcase).
✅ Overall Width (excluding mirrors):⁰Model Y: 75.6 inches (1,920 mm)… https://t.co/PsVwzhw1pe pic.twitter.com/58JQ5ssQIO
— TESLARATI (@Teslarati) March 25, 2026
Dimensionally, the differences are striking. The Model Y stretches roughly 188 inches long, 75.6 inches wide, excluding its mirrors, and stands 64 inches tall on a 113.8-inch wheelbase. The Cybercab measures approximately 175 inches in length, about a foot shorter, and just 63 inches wide.
That narrower stance gives the Cybercab a dramatically more compact silhouette, making it easier to maneuver in tight urban environments and park in standard spaces that would feel cramped for the Model Y. Height is also lower on the Cybercab, contributing to its sleek, coupe-like profile versus the Model Y’s taller crossover shape.
Visually, the contrast is unmistakable. The Model Y presents as a family-friendly SUV with conventional doors, a prominent hood, and a spacious glass roof.
The Cybercab eliminates the steering wheel and pedals entirely, creating a clean, futuristic cabin that feels more lounge than cockpit.
Its doors open in a distinctive, wide-swinging motion, and the body features smoother, more aerodynamic lines optimized for autonomy. Parked beside a Model Y, the Cybercab appears almost toy-like in width and length, yet its low-slung stance and minimalist design emphasize agility over bulk.
🚨 We caught up with the Tesla Cybercab today in The Bay Area: pic.twitter.com/9awXiK26ue
— TESLARATI (@Teslarati) March 24, 2026
Cargo capacity tells another part of the story. The Model Y offers generous real-world utility: 4.1 cubic feet in the front trunk and 30.2 cubic feet behind the rear seats, expanding to 72 cubic feet with the second row folded flat.
It comfortably swallows groceries, luggage, or sports equipment for five passengers. The Cybercab, designed for two riders, trades that volume for targeted efficiency.
It features a rear hatch with enough space for two carry-on suitcases and personal items, plenty for the typical robotaxi trip, while maintaining impressive legroom and headroom for its occupants.
In short, the Model Y prioritizes versatility and family hauling with its larger footprint and abundant storage. The Cybercab sacrifices size for simplicity, cost, and urban nimbleness.
At roughly 12 inches shorter and 12 inches narrower, it embodies Tesla’s vision for scalable, affordable autonomy: smaller on the outside, smarter inside, and ready to redefine how we move through cities.
The Cybercab and Model Y both will contribute to Tesla’s fully autonomous future. However, the size comparison gives a good look into how the vehicles are the same, and how they differ, and what riders should anticipate as the Cybercab enters production in the coming weeks.
Elon Musk
Elon Musk says Tesla is developing a new vehicle: ‘Way cooler than a minivan’
It sounds as if Tesla could be considering a new vehicle to fit the mold of what a larger family would need, and as fans have been demanding it for several years and the company is phasing out the Model X, its only family-geared vehicle, it sounds as if it could be the perfect time.
Tesla CEO Elon Musk said the company is developing a new vehicle, and it will be “way cooler than a minivan.”
It sounds as if Tesla could be considering a new vehicle to fit the mold of what a larger family would need, and as fans have been demanding it for several years and the company is phasing out the Model X, its only family-geared vehicle, it sounds as if it could be the perfect time.
There are a handful of things Musk could be talking about, and as many Tesla owners have wanted a vehicle along the lines of a minivan for hauling around their family, speculation has persisted about what the company would do in terms of developing something for that exact use case.
There were several options, and some of them seemed to be already available. Musk posted on X yesterday that the Cybertruck has three sets of isofix attachments and could fit three child seats or three adults, and it seemed to be a way to deflect plans for a new, larger vehicle as a Model Y L appeared to be present at Giga Texas.
There is also the Robovan, the large people mover that Tesla unveiled at the “We, Robot” back in 2024.
Something way cooler than a minivan is coming
— Elon Musk (@elonmusk) March 25, 2026
However, it seems Tesla could be developing something like a CyberSUV, something that is going to be large enough to haul around a car full of kids, but could be developed with the company’s aesthetic of the company’s most recent releases: this would likely include a light bar and a more sleek, futuristic look.
We’ve mocked up some potential looks for Tesla’s speculative vehicle in the past:
Tesla has teased the potential of a CyberSUV in the past, showing off clay models that it developed back in September in a teaser video called “Sustainable Abundance.”
Fans and owners have been calling for this development for a very long time, and it seems like Tesla might be ready to finally answer the call on a large SUV. With the segment being dominated by combustion engine vehicles, Tesla could truly disrupt the large SUVs that have been mainstays.
The Chevrolet Tahoe and GMC Yukon would feel some additional pressure, and it would be possible for Tesla to infiltrate some of those sales and pull consumers to electric powertrains.
As the Model S and Model X sunset process is truly hitting full swing, it might be time to consider Tesla’s next option in terms of vehicle development.
Elon Musk demands Delaware Judge recuse herself after ‘support’ post celebrating $2B court loss
Tesla Cybercab spotted next to Model Y shows size comparison
Elon Musk says Tesla is developing a new vehicle: ‘Way cooler than a minivan’
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