Jump to content
Sign in to follow this  
William Maley

Karma News: Fisker Gets Slapped With A Federal Lawsuit

Recommended Posts

By William Maley

Staff Writer - CheersandGears.com

April 9, 2013

From the "it can't get any worse, can it?" file, Fisker has been smacked with a lawsuit by their former employees alleging the company violated the law when they were laid off.

Last Friday, Fisker announced they would be laying off 75% of their employees (about 160 employees) as "a necessary strategic step to... maximize the value of Fisker's core assets," which is complicated way of saying 'we're trying to conserve as much cash as possible'.

However, employees have sued Fisker in Federal court, stating the company violated the US Worker Adjustment Retraining Notification (WARN) Act which says a company must give employees 60 days of notice of a termination. The suit also alleges Fisker failed to pay the employees the wages and other benefits they would have earned in the 60 days following the layoffs.

Fisker's communications firm, Sitrick and Co said the company had no immediate comment concerning the suit.

Source: Automotive News (Subscription Required)

William Maley is a staff writer for Cheers & Gears. He can be reached at william.maley@cheersandgears.com or you can follow him on twitter at @realmudmonster.


View full article

Share this post


Link to post
Share on other sites

This is to be expected, why would anyone want to be in California and deal with the mess of trying to run a business there. Course if they are bankrupt, does that law really have merit?

This is going to be one ugly mess of a shutdown.

Be interesting to see if the courts throw out any requirements from the EPA for their loans and allows this to be taken over by the Chinese?

Share this post


Link to post
Share on other sites

Join the conversation

You are posting as a guest. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  



  • Social Stream

  • Similar Content

    • By Drew Dowdell
      At FCA, amid the backdrop of a proposed merger and its subsequent collapse,  a lawsuit has been filed by Reid Bigland, head of the RAM brand and CEO of FCA Canada alleging that FCA has retaliated against Bigland for cooperating in a Federal prob of FCA's sales reporting process. 
      Bigland joined Chrysler in 2006 and in turn took over the reigns of Alfa Romeo, Maserati, and Dodge, eventually serving as CEO of FCA Canada.  The lawsuit filed Wednesday accuses FCA of retaliation for not taking the fall for the sales reporting prob.  Bigland claims his compensation has fallen by more than 90% and that the sales reporting process under scrutiny was one that he inherited. 
      The probe of FCA's sales reporting started after two dealerships in Illinois filed a lawsuit alleging they were offered cash in return for reporting falsely inflated sales numbers. From that lawsuit, FCA was forced to recount and re-report its previous sales reports.  The Security and Exchange Commission continued its investigation and Bigland cooperated. 
      Bigland's position is that the sales reporting methods existed well before he assumed his roles, and he did nothing to change the reporting process already in place.  Bigland claims that the SEC tried to settle with some admission of wrong-doing by the company and Bigland. Bigland declined to admit wrong doing and later sent a letter detailing the sales reporting practices to the SEC.
      Bigland sold his shares in the company in 2018 and he claims that FCA is withholding bonuses to pay for SEC fines if and when they come. 
      For FCA's part they say via Detroit News:
      We'll have more information as it comes out. 

      View full article
    • By Drew Dowdell
      At FCA, amid the backdrop of a proposed merger and its subsequent collapse,  a lawsuit has been filed by Reid Bigland, head of the RAM brand and CEO of FCA Canada alleging that FCA has retaliated against Bigland for cooperating in a Federal prob of FCA's sales reporting process. 
      Bigland joined Chrysler in 2006 and in turn took over the reigns of Alfa Romeo, Maserati, and Dodge, eventually serving as CEO of FCA Canada.  The lawsuit filed Wednesday accuses FCA of retaliation for not taking the fall for the sales reporting prob.  Bigland claims his compensation has fallen by more than 90% and that the sales reporting process under scrutiny was one that he inherited. 
      The probe of FCA's sales reporting started after two dealerships in Illinois filed a lawsuit alleging they were offered cash in return for reporting falsely inflated sales numbers. From that lawsuit, FCA was forced to recount and re-report its previous sales reports.  The Security and Exchange Commission continued its investigation and Bigland cooperated. 
      Bigland's position is that the sales reporting methods existed well before he assumed his roles, and he did nothing to change the reporting process already in place.  Bigland claims that the SEC tried to settle with some admission of wrong-doing by the company and Bigland. Bigland declined to admit wrong doing and later sent a letter detailing the sales reporting practices to the SEC.
      Bigland sold his shares in the company in 2018 and he claims that FCA is withholding bonuses to pay for SEC fines if and when they come. 
      For FCA's part they say via Detroit News:
      We'll have more information as it comes out. 
    • By Drew Dowdell
      Following a dismal fall in sales in the previous two quarters, Tesla has sacked several dozen employees in stores in Chicago, New York, and Tampa last week according to a report in Bloomberg.  These cuts are the latest in a series of cuts to Tesla's retail staff that Tesla had announced earlier in the year.  At first, Tesla had announced it would close most of its retail locations and moving to an entirely online retail model. They later changed course and dialed back the reductions with the caveat that some locations would still be closing. Tesla then raised the prices on the more expensive Model 3 trims 
      Most of the cuts came from staff who hold the position of Inside Sales and their managers. Inside sales teams reach out to potential buyers and stimulate interest with test drives. 

      View full article
    • By Drew Dowdell
      Following a dismal fall in sales in the previous two quarters, Tesla has sacked several dozen employees in stores in Chicago, New York, and Tampa last week according to a report in Bloomberg.  These cuts are the latest in a series of cuts to Tesla's retail staff that Tesla had announced earlier in the year.  At first, Tesla had announced it would close most of its retail locations and moving to an entirely online retail model. They later changed course and dialed back the reductions with the caveat that some locations would still be closing. Tesla then raised the prices on the more expensive Model 3 trims 
      Most of the cuts came from staff who hold the position of Inside Sales and their managers. Inside sales teams reach out to potential buyers and stimulate interest with test drives. 
    • By Drew Dowdell
      Ford's operations in Europe books a 351€ billion loss for 2018 in contrast to a 324€ billion profit the year prior.  Already in the midst of a major restructuring, Ford has now announced job cuts in Germany and the UK.
      Ford employs roughly 24,000 people in Germany with expectations to lower that by 5,000 to 19,000 total. Most of the cuts are expected to come from voluntary redundancies and early retirement.   Ford aims to make the cuts "in the most socially responsible way possible."
      In addition to the German job loses, another 1,150 employees will lose their positions in the UK. 
      Ford has already shuttered an assembly plant in France and cut its vehicle lineup. 
      Ford's moves follow that of Honda which is closing its plant in Swindon, Nissan which is reducing output in Sunderland, Infiniti leaving Western Europe and Volkswagen laying off 7,000 workers.

      View full article
  • My Clubs

  • Reader Rides

About us

CheersandGears.com - Founded 2001

We ♥ Cars

Get in touch

Follow us

Recent tweets

facebook

×
×
  • Create New...