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NLRB Offers to Suspend Case Against SpaceX Until Federal Courts Rule on Agency's Authority
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NLRB Offers to Suspend Case Against SpaceX Until Federal Courts Rule on Agency's Authority
May 17, 2024 10:18 AM

12:47 PM EDT, 05/17/2024 (MT Newswires) -- The National Labor Relations Board is offering to suspend an administrative review accusing SpaceX of illegally firing eight engineers, while the company pursues a case challenging the federal agency's authority, court documents filed this week show.

The NLRB began its probe into the employee's accusations in January for being illegally fired. This prompted SpaceX and Elon Musk's lawyers to file suit contending the agency's authority to determine whether the company's actions were lawful.

Since that time, the legal fight has bounced between US District Court in Brownsville, Texas, and an appeals court panel in New Orleans. In its filing late Thursday, the NLRB said while it does not agree with the company's arguments its structure lacks constitutional authority, it would pause its case until the courts rule on the SpaceX challenge.

Starbucks (SBUX) and Amazon.com (AMZN) have also claimed the NLRB should not be able to adjudicate disputes between companies and employees.

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