FYI: Former Tesla executive Mike Tully has launched a lawsuit against Tesla, alleging the company’s abrupt change to his telework agreement reignited personal and medical challenges, including jeopardizing his marriage.
Ex-Tesla Exec Takes Legal Action Over Telework Dispute
Mike Tully, a former executive at Tesla, has filed a lawsuit against the electric vehicle giant, citing a contentious telework arrangement that allegedly caused significant personal turmoil. Tully accuses Tesla of reneging on a prior offer for a work-from-home role, subsequently pressuring him to relocate—a move he contends was never part of the original agreement.
Allegations of a ‘Bait-and-Switch’
The lawsuit, submitted to a California court in the previous month, details how Tully was initially extended an offer to work remotely. However, Tesla eventually rescinded this, presenting Tully with an alternative job opportunity that required him and his family to relocate. Tully characterizes this change as a "bait-and-switch," emphasizing he had been assured the position wouldn’t necessitate relocation.
Career Background and Relocation Concerns
Before joining Tesla, Tully enjoyed a 16-year tenure at Bank of America in Irvine, California. The shift to Tesla’s Fremont offices—approximately 400 miles away—posed substantial challenges. Tully’s lawsuit underscores that he had explicitly communicated his unwillingness to move away from Irvine.
The relocation demand took a significant personal toll. Tully’s wife reportedly threatened divorce if he were to uproot their family, and his chronic medical conditions, exacerbated by stress, resurfaced.
A Tense Working Environment and a Final Ultimatum
Upon starting at Tesla in April 2022, Tully’s initial months were marked by positive performance feedback. However, the atmosphere shifted dramatically after CEO Elon Musk strongly opposed remote work. Musk had previously decreed that all Tesla employees must physically clock 40 hours per week at their job sites or resign.
Musk’s stance further extended to his ambitions of ending federal teleworking, a push he leads with Vivek Ramaswamy through the Department of Government Efficiency.
In facing a December 2022 relocation deadline, Tully was backed into a corner by personal commitments—his family’s business in Irvine and his children’s educational prospects. Despite exploring compromises like finding local roles or internal company transfers, Tesla terminated Tully the day after these discussions.
Seeking Remediation
In response, Tully is pursuing punitive, economic, and special damages. Additionally, he seeks judicial intervention to preclude Tesla from perpetuating similar conduct in the future.
This lawsuit highlights the ongoing tension surrounding telework dynamics at Tesla, shining a light on the complex interplay between corporate policies and employee well-being.
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Authored by William Kouch, Editor of Automotive.fyi
