US Labor Board to Reconsider Case Against SpaceX Over Firing of Musk Critics

AinvestWednesday, Apr 23, 2025 2:21 pm ET
1min read

The US Labor Board is considering dropping its case against SpaceX over the firing of employees who criticized Elon Musk. The board is exploring whether SpaceX falls under its jurisdiction, citing the National Mediation Board's oversight of railways and airlines that transport passengers. The case was paused after SpaceX sued the Labor Board, arguing its structure is unconstitutional. The Labor Board's complaint alleged SpaceX violated labor law by firing employees who criticized Musk in a public letter. SpaceX has denied wrongdoing and the Labor Board declined to comment.

The US Labor Board is exploring whether to drop its case against SpaceX over the firing of employees who criticized Elon Musk. The board is assessing whether SpaceX falls under its jurisdiction, citing the National Mediation Board's oversight of railways and airlines that transport passengers [1]. The case was paused after SpaceX sued the Labor Board, arguing its structure is unconstitutional [2]. The Labor Board's complaint alleged SpaceX violated labor law by firing employees who criticized Musk in a public letter. SpaceX has denied wrongdoing, and the Labor Board declined to comment.

Meanwhile, two representatives from the Department of Government Efficiency (DOGE) have been assigned to the NLRB headquarters to review operations, following a whistleblower allegation that DOGE accessed sensitive data at the NLRB [3]. This development comes amid ongoing legal battles between SpaceX and the NLRB, with SpaceX challenging the constitutionality of elements of the NLRB in two separate lawsuits.

SpaceX is also leading a bid to build a key part of President Trump's "Golden Dome" missile defense shield, partnering with Palantir and Anduril. The SpaceX-led group is pitching a "subscription model" for missile defense, proposing a constellation of 400 to more than 1,000 missile defense satellites [4]. The Pentagon has received interest from more than 180 companies for the Golden Dome initiative, with SpaceX emerging as a frontrunner.

References:
[1] https://news.bloomberglaw.com/daily-labor-report/labor-board-moves-to-drop-case-over-spacex-firing-musk-critics
[2] https://news.bloomberglaw.com/daily-labor-report/labor-board-assigned-doge-shadows-in-house-to-review-operations
[3] https://www.reuters.com/business/aerospace-defense/musks-spacex-is-frontrunner-build-trumps-golden-dome-missile-shield-2025-04-17/