Tesla Fires Back at Workers in Mass Layoff Arbitration Appeal

Tesla Inc. urged the Fifth Circuit to leave in place a lower court ruling sending to arbitration allegations that it failed to comply with legal requirements to give workers advance notice of mass layoffs.

Former factory workers say Elon Musk’s electric vehicle company violated the Worker Adjustment and Retraining Notification Act when it fired them without advance notice as part of a 2022 effort to trim its workforce by 10%. The lower court was right to enforce the parties’ agreements and send the dispute to arbitration, Tesla told the US Court of Appeals for the Fifth Circuit.

The workers argue ...