Lucid Workers Win Settlement for Unfair Labor Practices and Back Pay

Lucid Motors Reaches Settlement Over Labor Disputes with Workers

In a pivotal agreement, electric vehicle manufacturer Lucid Motors has reached a settlement involving a substantial compensation package and a mandate to halt certain labor practices. The settlement, equating to $258,000 in back pay and damages, was authorized by the National Labor Relations Board (NLRB) on December 31. This development follows allegations of unfair labor practices filed by the United Auto Workers (UAW) relating to the termination of three employees earlier this year.

The NLRB's formal settlement, typically applied in severe labor violation cases, arose from Lucid's extreme anti-union actions, prompting the board to enforce a rare 10(j) injunction in September. The injunction required Lucid to reinstate the affected workers temporarily, pending the settlement's resolution.

"This settlement shows a better way forward for Lucid and companies like it," expressed Lucid employee Amie Hansen, who was awarded $120,000 in back pay and guaranteed job reinstatement. "Instead of trying to block our right to organize, Lucid should have been working with us all along as we’ve struggled to get this company off the ground. Respect for the voice of workers is critical to the long-term success of this company."

Under the terms of the agreement, Lucid is prohibited from engaging in nine specified unfair labor practices. These include:

• Firing or threatening employees for participating in protected organizing activities
• Surveilling employees to determine their involvement in organizing
• Confiscating union literature from non-work areas

Additionally, Lucid is required to communicate details of the settlement to its workforce at the Casa Grande, Arizona locations. This involves a video presentation to be recorded by a Board agent in a company café, addressing the workers about their rights to organize. The company will also post notices outlining this information.

UAW President Shawn Fain remarked, "Every autoworker in America can take heart from this settlement. Lucid is backed by the Saudi sovereign wealth fund, the deepest pockets in the world. But Lucid workers stood up and won justice. They showed that no matter how big the challenge workers can win when they stand together and fight for a better life."

Similarly, UAW Region 6 Director Mike Miller emphasized the broader implications of the settlement, stating, "This is a significant victory for worker and climate justice. We’re building the green economy to create a more sustainable future. But we will only have a truly sustainable future if we build our economy around protecting both the planet and workers’ right to organize for justice on the job without employer interference."

The UAW has been a staunch supporter of the Lucid employees' unionization efforts. Following the February 2023 dismissals, the union filed numerous complaints with the NLRB, facilitating the legal actions that led to the temporary reinstatement and eventual settlement.

Further details on the case and the settlement can be accessed through the NLRB's record and the board's processes for facilitating settlements.