- An engineer claims Tesla sought only H-1B visa hires.
- An HR specialist says foreign workers were preferred.
- US judge says the lawsuit has enough to move forward.
A federal judge in San Francisco has ruled that Tesla must face a lawsuit accusing it of discriminating against American workers in favor of foreign nationals who can be paid less. The case moves forward, though the court has already made clear it is not entirely convinced by every claim. US District Judge Vince Chhabria allowed part of the suit to proceed while openly questioning key elements of it.
In September last year, plaintiffs Scott Taub and Sofia Brander sued the electric car giant, alleging violations of federal civil rights law and claiming Tesla favored visa holders over US citizens. Taub says he was discouraged from applying for an engineering role after a recruiter told him the position was open only to H-1B visa holders.
Read: Musk’s Tesla Accused Of Replacing Thousands Of US Workers With Low-Cost Visa Labor
According to Reuters, Brander alleged that Tesla declined to interview her for two HR roles because it prefers to hire foreign nationals for those positions. The complaint also states that Tesla hired roughly 1,355 skilled workers on H-1B visas in 2024 while laying off more than 6,000 US employees. Both Taub and Brander claim Tesla refused to hire them because neither required employment sponsorship.
Judge Allows Core Claim To Proceed
In an order issued earlier this week, Judge Chhabria wrote that “the plaintiffs have pled just enough facts to allege that Tesla discriminated against US citizens,” adding that the allegations are “sufficient to state a claim for discrimination.” In practical terms, that means Tesla’s attempt to have Taub’s claims dismissed has failed, at least for now.
The judge appeared less certain about the strength of Taub’s evidence. He noted that the emails exchanged with Tesla recruiter Max Eleven “are sparse,” and suggested the recruiter’s statement that the engineering role was “H1B only” may have been made in response to a question from Taub.
The court said it is “somewhat skeptical of Taub’s allegations,” a reminder that surviving a motion to dismiss is not the same as winning.
Why Was The HR Role Claim Thrown Out?
However, the judge dismissed the claims of Brander, stating that “it is implausible that Brander, an HR specialist, was passed over for Tesla roles due to her citizenship,” noting the lawsuit only alleged Tesla uses H-1B visa holders for “specialized roles in engineering, research, and design.” Brander has been given 14 days to file an amended complaint if she wants to continue to pursue Tesla for discrimination.
