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Saturday, December 21, 2024

Rivian executives accused of harassment in beforehand unreported lawsuits


4 workers have sued Rivian in separate lawsuits this yr over allegations they had been harassed, in some instances by high executives, and that the corporate’s management did little to handle their considerations, in line with a TechCrunch evaluation of courtroom information.

Rivian has additionally reached settlements in three different harassment and discrimination instances, TechCrunch has discovered. 

Lawsuits aren’t unusual within the automotive business, notably with massive corporations that function factories and a number of services. However the allegations contained in these beforehand unreported lawsuits towards Rivian, and those that it has settled, counsel the corporate continues to be checking out its inside tradition – a tradition that was thrust into the highlight three years in the past when it went public.

Two of the lawsuits, filed in California’s Orange County Superior Courtroom, focus on Rivian chief designer Jeff Hammoud, who has been with the corporate since 2017. 

One filed by former colour, materials, and end crew director Elizabeth Curran in February 2024 accuses Hammoud of being “liable to irrational outbursts of anger,” incidents she describes as being “usually directed on the girls in management.” 

The opposite, filed by sculptor Nathan Facciolla in October 2024, alleges Hammoud created a hostile work surroundings and known as Facciolla’s spouse “a hooker” as a result of she labored an evening shift at a hospital.

Each workers declare they reported Hammoud to HR and that he was not disciplined.

A lawyer for Hammoud declined to remark.

A 3rd lawsuit, filed in federal courtroom final month by line employee Jeremiah Powe, accuses recently-departed chief working officer Frank Klein of assault and battery after he allegedly pulled Powe to the bottom for violating the corporate’s costume code. Powe informed native regulation enforcement that he believed Rivian didn’t correctly examine the alleged incident, in line with a police report obtained by TechCrunch.

Attorneys for Powe declined to remark. Klein declined to remark and directed TechCrunch’s inquiries to Rivian.

Rivian was additionally sued by a manufacturing employee at its Regular, Illinois manufacturing facility in February 2024. Nicole Hawkins filed a lawsuit within the Eleventh Judicial Courtroom in McLean County, Illinois claiming she was bodily harassed and threatened by a coworker. When she reported this to Rivian’s human sources division, she claims “[n]othing was achieved.” The case is probably being settled, because the docket now reveals Hawkins’ legal professional is asking for a dismissal. Her legal professional declined to remark.

Rivian declined to touch upon the claims made by every worker, citing the truth that the lawsuits are ongoing.

“Rivian is dedicated to offering an impressive office freed from harassment, discrimination and retaliation,” Marina Hoffmann, Rivian’s VP of worldwide communications, mentioned in an emailed assertion. “As with all group with 1000’s of workers, conditions do come up that immediate us to take motion. Once we grow to be conscious of conduct that will violate our company insurance policies or the regulation, we examine completely and take acceptable motion.”

These lawsuits come just some years after Rivian’s former head of gross sales and advertising and marketing Laura Schwab put firm’s tradition below scrutiny when she sued the corporate over her personal allegations of sexual discrimination and wrongful termination.

Schwab claimed in her 2021 lawsuit that founder and CEO R.J. Scaringe had “surrounded himself with a good knit group of males” who created a “poisonous bro tradition” that resulted in “blatant marginalization” of ladies. She mentioned she was fired two days after she introduced her expertise to HR.

Schwab’s lawsuit and her weblog submit concerning the firm’s tradition garnered plenty of consideration forward of Rivian’s blockbuster IPO in 2021. However she quietly settled with the corporate six months later and dismissed the lawsuit, courtroom information present. Her lawyer declined to touch upon the settlement.

Oscar Ramirez, a lawyer representing each Curran and Facciolla, informed TechCrunch in an interview that these new lawsuits counsel little has modified following Schwab’s case.

“There appears to be a normal sample of high-ranking managers participating in fully insane conduct and concentrating on workers for any variety of protected actions, or due to their traits,” he mentioned. 

“A frothing rage”

Rivian electrical autos sit in quite a bit at a Rivian facility in Chicago. (Picture by Scott Olson/Getty Photos)

Curran, who labored on the firm’s Irvine, California headquarters, alleges that Hammoud confronted her throughout a March 2023 assembly in “a frothing rage, red-faced with anger, veins on his head, and neck bulging as he berated her” after she had bother accessing a pc presentation. She claims the incident introduced her to tears.

The following day, in line with the criticism, Curran informed a Rivian HR consultant that she wished to debate the incident. However the HR rep allegedly by no means adopted up with Curran and didn’t provide her the chance to file a proper criticism. 

Within the weeks that adopted, Hammoud allegedly put Curran on a efficiency enchancment plan primarily based on what Curran’s attorneys say had been “false” causes. Throughout this “reset plan,” Curran claims Hammoud made feedback about how a lot she was or wasn’t smiling. Curran’s attorneys observe within the criticism that Hammoud’s feedback had been “one thing that different Rivian administrators uniformly agreed was not regular.”

In September 2023, Curran was known as into a gathering with Hammoud and an HR rep and was fired for failing to make “enough enhancements throughout the ‘reset plan’,” in line with the criticism.

This was not the primary time Hammoud had been accused of harassing workers. 

Facciolla, who began working at Rivian in 2017, claims in his lawsuit that Hammoud would frequently “angrily humiliate” workers. This created a poisonous tradition that led to workers overworking themselves out of worry of Hammoud’s reprisals, in line with Facciolla’s criticism.

Simply earlier than Christmas in 2022, in line with Facciolla’s lawsuit, workers on his crew had been working 12-to-14 hour days for 3 weeks straight. Sooner or later, Hammoud allegedly received offended that one other worker left the workplace to deal with their sick little one. The chief designer then allegedly began “aggressively carving up” Facciolla’s clay mannequin of considered one of Rivian’s autos in response, making “main adjustments which can be usually made within the early phases” of the automotive growth course of. 

Later that night, when Facciolla informed Hammoud he wanted to go dwelling as a result of his spouse was working an evening shift on the hospital, Hammoud allegedly requested: “Is she a hooker now?” 

Facciolla reported Hammoud to HR and, in line with the criticism, the division “appeared superficially sympathetic, however proved tired of correcting the state of affairs.” Facciolla claims HR spoke to Hammoud, however didn’t self-discipline him. 

Facciolla started seeing a therapist and finally took “a number of weeks off after Christmas to recuperate” however allegedly skilled extra mistreatment from Hammoud when he returned. Facciolla resigned in June 2023. 

Hoffmann declined to touch upon specifics of any of the allegations specified by any of the lawsuits. In a followup e mail, she shared a press release that Rivian has “specific insurance policies that tackle acceptable conduct within the office and all workers, together with executives, are required to comply with these insurance policies.” 

Hassle in Illinois

Attendees have a look at the brand new Rivian R2 electrical car on the Rivian South Coast Theater in Laguna Seaside, California, on March 7, 2024. (Picture by Patrick T. Fallon / AFP)

Powe, in the meantime, claims that in November 2022 then-COO Klein “stormed into [his] work space, shouting with rage” and mentioned Powe’s necklace and Rivian-issued jacket violated the corporate’s costume code.

Klein then allegedly grabbed Powe by the jacket and “forcefully pulled him towards the bottom,” earlier than he “proceeded to seize [Powe] by the crotch, and unzipped his pants a number of occasions.” Powe claims “a number of” different workers witnessed this. 

Powe reported Klein to Rivian’s HR crew that day, in line with the lawsuit, and claims the corporate spent a couple of month investigating the incident. In the meantime, Powe filed a police report with the Regular, Illinois police division in December 2022 as a result of he believed “Rivian safety was not going to analyze the incident,” in line with the responding officer’s abstract. The Regular Police Division informed TechCrunch the case was closed and no costs had been filed.

In his lawsuit, Powe claims “[s]everal different workers” at Rivian’s manufacturing facility had made “comparable complaints towards Klein to Rivian’s HR Division” previous to his alleged assault. Powe saved working at Rivian, however was struck by a car at work in September 2023 and injured. He then claims Rivian “maliciously” required him to clock in on the second ground of the manufacturing facility, and says he was finally fired in November 2023, which he says was achieved “with out trigger.” 

Klein left Rivian in September 2024 to grow to be chief working officer of house firm Rocket Lab. 

A number of Rivian settlements

Schwab’s case is just not the one harassment lawsuit Rivian has settled lately, courtroom information present. TechCrunch has found at the very least two others since 2022.

Battery crew member Angela Betancourt sued Rivian in federal courtroom in September 2022 after allegedly being “frequently subjected to undesirable sexual advances by a number of of her male coworkers” on the firm’s manufacturing facility in Illinois. Betancourt reported the harassment to “a number of HR representatives,” in line with the criticism. However, her attorneys wrote, the corporate “failed to handle such illegal harassment and the corporate tradition that allows it.”

In an amended criticism filed in August 2023, which sought class motion standing, Betancourt’s attorneys wrote that it’s “widespread information that girls are routinely sexually harassed at Defendant’s facility with the information of administration, however with out administration making any actual, substantive effort to right it.”

After Rivian unsuccessfully tried to maneuver the case to arbitration, the corporate and Betancourt reached a settlement in August 2024 and the lawsuit was dismissed.

Natasha Hill, an operations and manufacturing affiliate at Rivian’s manufacturing facility, sued the corporate in federal courtroom in October 2023 after one other worker allegedly shared an “specific video” of her with “quite a few coworkers.” She claimed the worker continued to point out the video to others even after she reported the alleged incident to her supervisors.

Hill claimed in her swimsuit that one other worker threatened her with a firearm. After reporting all of this to HR, Hill’s lawsuit states that she was terminated in July 2023 “in connection” with the “investigation relating to the firearm incident.”

Hill and Rivian reached a settlement and dismissed the lawsuit in April 2024.

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