Posts Tagged: Federal

Court rules Elon Musk broke federal labor law with 2018 tweet

Elon Musk broke US labor law in 2018 when he tweeted Tesla factory workers would forgo stock options if they chose to unionize, according to a federal appeals court. On Friday, the Fifth Circuit Court of Appeals, in a decision spotted by Business Insider, upheld a National Labor Relations Board (NLRB) ruling that found Musk made unlawful threats around employee compensation.

In May 2018, a Twitter user asked Musk about his stance on unions. “Nothing stopping Tesla team at our car plant from voting union. Could do so tmrw if they wanted,” he tweeted in response. “But why pay union dues & give up stock options for nothing? Our safety record is 2X better than when plant was UAW & everybody already gets healthcare.”

The tweet immediately drew the attention of labor activists, and in 2021, the NLRB, responding to a complaint from the United Auto Workers union, found Musk had threatened employees. Tesla has argued the tweet was Musk’s way of pointing out that workers at other automakers don’t receive stock options. NLRB chair Wilma Liebman saw it differently. "The employee is going to hear it as, 'If I vote to unionize, stock options will no longer be an option,'" she told Bloomberg in 2018.

After reviewing the decision, the Fifth Circuit Court sided with the NLRB. "Because stock options are part of Tesla's employees' compensation, and nothing in the tweet suggested that Tesla would be forced to end stock options or that the UAW would be the cause of giving up stock options, substantial evidence supports the NLRB's conclusion that the tweet is as an implied threat to end stock options as retaliation for unionization," the panel wrote.

The court ordered Musk to delete the tweet. As of the writing of this article, the message is still live. The Fifth Circuit Court also upheld an order from the NLRB that Tesla reinstates Richard Ortiz, a worker the automaker fired for organizing employees at its Fremont factory in California.

This article originally appeared on Engadget at https://www.engadget.com/court-rules-elon-musk-broke-federal-labor-law-with-2018-tweet-195420903.html?src=rss
Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

Federal prosecutors ask court to bar Sam Bankman-Fried from using Signal

US prosecutors have asked a federal court to tighten Sam Bankman-Fried’s bail conditions to prevent the disgraced entrepreneur from contacting his former colleagues. According to court documents seen by The New York Times, lawyers from the Department of Justice allege Bankman-Fried tried messaging the general counsel of FTX’s US arm over Signal and email earlier this month. The communication was “suggestive of an effort to influence Witness-1’s potential testimony,” the filing states. 

“I would really love to reconnect and see if there’s a way for us to have a constructive relationship, use each other as resources when possible, or at least vet things with each other,” says one message Bankman-Fried sent, according to the Justice Department. The DOJ has asked the judge overseeing Bankman-Fried’s criminal case to bar him from contacting current and former FTX employees, as well as using Signal or any other encrypted or ephemeral messaging app. Following the request, SBF’s legal team accused federal prosecutors of trying to paint their client in the “worst possible light.” They claim Bankman-Fried tried contacting the general counsel of FTX US and CEO John Ray to offer “assistance,” not to interfere with his criminal case. His lawyers also claim a Signal ban isn’t necessary since Bankman-Fried is not using the app’s auto-delete feature.

Prosecutors allege SBF’s use of Signal is consistent with “a history” of using the app to hide his dealings at FTX. Prior to FTX’s implosion in November, Bankman-Fried and former Alameda Research CEO Caroline Ellison were reportedly part of a secret “Wirefraud” group chat on Signal. During his tenure at the exchange, SBF also allegedly directed employees to enable Signal’s disappearing messages feature.

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

Disgraced FTX founder Sam Bankman-Fried pleads not guilty to federal fraud charges

Sam Bankman-Fried, the disgraced founder and former CEO of crypto exchange FTX, has pleaded not guilty to federal wire fraud charges and other crimes. Bankman-Fried appeared before a Manhattan court on Tuesday, nearly two weeks after he was granted bail on a $ 250 million bond, and said he was innocent of charges laid against him by US prosecutors. 

In addition to a civil suit from the Securities and Exchange Commission, SBF faces a criminal indictment from the Justice Department. Prosecutors have accused Bankman-Fried of leading a multiyear scheme to defraud investors and customers of FTX. SBF faces a total of eight criminal charges, including multiple counts of wire fraud. He is also accused of attempting to commit commodities fraud, as well as breaking federal election laws by donating more than is legally allowed and in the names of other people.

Developing… 

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

TikTok will be banned on most US federal government devices

TikTok will be outlawed on almost all devices issued by the federal government after lawmakers passed a $ 1.7 trillion spending bill. Officials crammed the No TikTok on Government Devices Act, which the Senate unanimously approved last week, into the mammoth 4,155-page omnibus bill. The spending package was fast tracked in order to avoid a partial government shutdown. It will fund the government through September.

The Senate voted 68-29 to pass the bill on December 22nd. The House approved it on Friday with a vote of 225-201. On the same day, President Joe Biden signed a stopgap bill that funded the government for another week in order to avert a shutdown until the omnibus bill landed on his desk. Today, President Biden signed the bill into law.

The legislation requires the Biden administration to establish rules to remove TikTok from government devices by mid-February. The bill carved out exceptions for elected officials, congressional staff, law enforcement agents and other officials. However, the House of Representatives separately banned TikTok on devices it owns and manages.

Earlier this month, FBI Director Chris Wray warned that China could use the app (which is owned by Beijing-based company ByteDance) to collect data on users. Some attempts have been made, including in the last few weeks, to prohibit TikTok in the US entirely. Several states have banned TikTok from government devices, including Georgia, South Dakota, Maryland and Texas. Indiana has sued TikTok over alleged security and child safety issues.

TikTok has attempted to soothe US lawmakers' concerns that the app could be used for spying purposes. Since June, it has been directing all traffic from the country to Oracle servers based domestically. TikTok and ByteDance said they'd delete US user data from their own servers in the US and Singapore. In August, Oracle began a review of TikTok's algorithms and content moderation systems.

As Congress was voting on the bill, news broke that ByteDance fired four employees (two in the US and two in China) who accessed the TikTok data of US journalists. The workers were allegedly trying to find the sources of leaks to the reporters.

The omnibus bill includes other tech-related provisions, including more funding for federal antitrust officials. In addition, the package incorporates the Computers for Veterans and Students Act. This requires the government to hand over certain surplus computers to nonprofits. The systems will be repaired and/or refurbished, then distributed to schools, homeschooled students, veterans, seniors and others in need.

There's also another $ 1.8 billion in new funding to implement the CHIPS and Science Act, which aims to boost domestic production of semiconductors. The omnibus bill earmarks $ 25.4 billion for NASA — 5.6 percent more than the agency received in fiscal year 2022, but less than the $ 26 billion the White House asked for. The National Science Foundation will get $ 9.9 billion, an increase of 12 percent. The National Institute of Standards and Technology and National Oceanic and Atmospheric Administration will receive increases of 32 percent (up to $ 1.6 billion) and 17.5 percent ($ 761 million), respectively.

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

Federal investigation into child sexual abuse targets TikTok

The Department of Homeland Security is said to have launched an investigation into TikTok over the platform’s handling of child sexual abuse material.
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Backpage.com was seized by the federal government

Classifieds website Backpage.com has been seized and disabled by the federal government. When you visit the website now, you'll see a message saying it and all affiliated websites have been taken over "as part of an enforcement action by the Federal…
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Federal judge’s ruling in sexual harassment cases deals setback to Uber

A federal judge ruled in two California cases that, even though Uber drivers are independent contractors, the company may still be liable in criminal cases. The court did not completely dismiss the charges against Uber in either case.

The post Federal judge’s ruling in sexual harassment cases deals setback to Uber appeared first on Digital Trends.

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