Elon Musk’s SpaceX has been accused of making workers sign illegal confidentiality and non-disparagement clauses as a condition of getting severance pay. The company is also accused violating the law by requiring workers to sign certain arbitration agreements and class-action waivers as a condition of getting their jobs, according to an agency spokesperson.
The NLRB’s general counsel argues that “overly broad” employment contracts can be coercive and prevent workers from speaking out to improve their working conditions. SpaceX did not immediately deny the charges.
The new complaint escalates a battle between labor officials and Musk, who has mounted a legal challenge to the board’s very existence. SpaceX has argued in federal court that the structure of the NLRB is unconstitutional and therefore the agency shouldn’t be able to pursue a case against the company. (Trader Joe’s and Amazon have aired essentially the same argument in labor board proceedings.)
The complaint against SpaceX was based on charges filed on behalf of two former employees who say they were illegally fired for exercising their rights. In the complaint, the general counsel asked that SpaceX be required to notify former employees that it won’t enforce the allegedly unlawful provisions of the severance agreement, and that the company drop the arbitration agreements and class-action waivers from its hiring paperwork.
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