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Elon Musk recommends voting for a Republican Congress; is open to voting Democrat in the future. Elon Musk recommends voting for a Republican Congress; is open to voting Democrat in the future.

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Tesla confronted by U.S. Senators regarding ‘forced arbitration’

Credit: JC

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Tesla has received a public letter from a group of U.S. Senators asking the company to alter its policy regarding forced arbitration.

Tesla and its CEO, Elon Musk, are no strangers to receiving public letters from the United States Senate. Senators, notably Richard Blumenthal and Elizabeth Warren, have often raised concerns regarding the company’s policies and tactics. Now, Tesla CEO Elon Musk has received yet another letter, this one regarding Tesla’s use of “forced arbitration.”

The letter published earlier this week, initially reported by CNBC, is signed by seven Senators, including Richard Blumenthal (D, CT), Sherrod Brown (D, OH), Dick Durbin (D, IL), Ed Markey (D, MA), Jeff Merkley (D, OR) Bernie Sanders (I, VT), and Elizabeth Warren (D, MA). As noted above, the letter focuses on Tesla’s use of “forced arbitration” within employment and consumer contracts.

As the Senators’ letter pointed out, forced arbitration is nothing new within America’s largest companies. In essence, forced arbitration is added to a contract to prevent the signatory from suing the contract issuer, instead forcing them to use a private arbitration system outside the public legal system. While technically, a contract signatory can appeal the arbitration clause to a public judge; they are often forced to remain within the private system. In the case of Tesla, this is used in employment and consumer contracts.

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Besides keeping employee or consumer complaints out of the public eye, according to the Senators, when a case is settled within arbitration, it can result in significantly less or no rewards granted to potential victims.

In the case of Tesla, the group of Senators argue that this system of forced arbitration has hidden instances of sexual harassment, racial discrimination, and consumer safety issues from the public eye. As evidence of their claims, the Senators note that Tesla’s Fremont facility, in particular, has had five times the average number of lawsuits filed against it by employees, including a recent case of racial discrimination and sexual harassment.

Neither Tesla nor Elon Musk has responded publically to the allegations put forward in the letter from the Senators.

Besides asking for Tesla to end its use of forced arbitration, the Senators are also enquiring about the company’s past policy use. The senators include a laundry list of questions, including but not limited to asking how often the policy has been used, what types of suites the arbitration typically solves, and what consumer complaints have been addressed via the arbitration system.

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The letter from the Senators is available below:

05082023 Tesla Forced Arbitration Letter by William Johnson on Scribd

What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!

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Will is an auto enthusiast, a gear head, and an EV enthusiast above all. From racing, to industry data, to the most advanced EV tech on earth, he now covers it at Teslarati.

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Tesla Giga Berlin dispute against IG Metall union leads to investigation

As per a report from rbb24, police seized a laptop belonging to an IG Metall member at Tesla Giga Berlin on Tuesday afternoon.

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Credit: Tesla Manufacturing/X

German authorities have opened an investigation into an IG Metall union representative following allegations that a confidential works council meeting at Tesla’s Gigafactory Berlin was secretly recorded. The probe follows a criminal complaint filed by Tesla management last week.

As per a report from rbb24, police seized a laptop belonging to an IG Metall member at Tesla Giga Berlin on Tuesday afternoon. Prosecutors in Frankfurt (Oder) confirmed that an investigation is underway into a possible unauthorized audio recording of an internal works council meeting.

Under German law, recording a non-public meeting without consent may constitute a criminal offense.

Tesla stated that Gigafactory Berlin employees alerted management after allegedly discovering that an external union representative, who was attending the event as a guest, had recorded the session. Plant manager André Thierig stated in a post on X that the representative was “caught in action,” prompting the company to contact police and file a criminal complaint.

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The seized device is now part of the investigation, and authorities will determine whether any unlawful recording had indeed occurred.

IG Metall has denied the accusation. In comments to German media, representatives rejected Tesla’s claim and described the electric vehicle maker’s allegation as an election campaign tactic ahead of upcoming works council elections.

The election at Tesla’s Grünheide plant is scheduled for March 2–4, 2026, with about 11,000 employees being eligible to vote. Regular works council elections in Germany are held every four years between March and May.

The incident comes amid tensions between Tesla and organized labor in Germany. While works councils operate independently from unions, IG Metall has been active at the plant and has previously criticized Tesla’s labor practices. Authorities, for their part, have not yet announced whether charges will be filed, though the investigation remains ongoing.

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Tesla rolls out xAI’s Grok to vehicles across Europe

The initial rollout includes the United Kingdom, Ireland, Germany, Switzerland, Austria, Italy, France, Portugal, and Spain.

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Tesla is rolling out Grok to vehicles in Europe. The feature will initially launch in nine European territories.

In a post on X, the official Tesla Europe, Middle East & Africa account confirmed that Grok is coming to Teslas in Europe. The initial rollout includes the United Kingdom, Ireland, Germany, Switzerland, Austria, Italy, France, Portugal, and Spain, and additional markets are expected to be added later.

Grok allows drivers to ask questions using real-time information and interact hands-free while driving. According to Tesla’s support documentation, Grok can also initiate navigation commands, enabling users to search for destinations, discover points of interest, and adjust routes without touching the touchscreen, as per the feature’s official webpage.

The system offers selectable personalities, ranging from “Storyteller” to “Unhinged,” and is activated either through the App Launcher or by pressing and holding the steering wheel’s microphone button.

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Grok is currently available only on Model S, Model 3, Model X, Model Y, and Cybertruck vehicles equipped with an AMD infotainment processor. Vehicles must be running software version 2025.26 or later, with navigation command support requiring version 2025.44.25 or newer.

Drivers must also have Premium Connectivity or a stable Wi-Fi connection to use the feature. Tesla notes that Grok does not currently replace standard voice commands for vehicle controls such as climate or media adjustments.

The company has stated that Grok interactions are processed securely by xAI and are not linked to individual drivers or vehicles. Users do not need a Grok account or subscription to enable the feature at this time as well.

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Tesla ends Full Self-Driving purchase option in the U.S.

In January, Musk announced that Tesla would remove the ability to purchase the suite outright for $8,000. This would give the vehicle Full Self-Driving for its entire lifespan, but Tesla intended to move away from it, for several reasons, one being that a tranche in the CEO’s pay package requires 10 million active subscriptions of FSD.

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Credit: Tesla

Tesla has officially ended the option to purchase the Full Self-Driving suite outright, a move that was announced for the United States market in January by CEO Elon Musk.

The driver assistance suite is now exclusively available in the U.S. as a subscription, which is currently priced at $99 per month.

Tesla moved away from the outright purchase option in an effort to move more people to the subscription program, but there are concerns over its current price and the potential for it to rise.

In January, Musk announced that Tesla would remove the ability to purchase the suite outright for $8,000. This would give the vehicle Full Self-Driving for its entire lifespan, but Tesla intended to move away from it, for several reasons, one being that a tranche in the CEO’s pay package requires 10 million active subscriptions of FSD.

Although Tesla moved back the deadline in other countries, it has now taken effect in the U.S. on Sunday morning. Tesla updated its website to reflect this:

There are still some concerns regarding its price, as $99 per month is not where many consumers are hoping to see the subscription price stay.

Musk has said that as capabilities improve, the price will go up, but it seems unlikely that 10 million drivers will want to pay an extra $100 every month for the capability, even if it is extremely useful.

Instead, many owners and fans of the company are calling for Tesla to offer a different type of pricing platform. This includes a tiered-system that would let owners pick and choose the features they would want for varying prices, or even a daily, weekly, monthly, and annual pricing option, which would incentivize longer-term purchasing.

Although Musk and other Tesla are aware of FSD’s capabilities and state is is worth much more than its current price, there could be some merit in the idea of offering a price for Supervised FSD and another price for Unsupervised FSD when it becomes available.

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