SpaceX countersues Justice Department, seeking to dismiss hiring discrimination case

SpaceX countersues Justice Department, seeking to dismiss hiring discrimination case


SpaceX headquarters in Los Angeles, California.

AaronP/Bauer-Griffin | GC Images | Getty Images

Elon Musk’s SpaceX sued the U.S. Department of Justice in a Texas federal court, as the company aims to stop the DOJ’s hiring discrimination case on constitutional grounds.

The countersuit comes after the DOJ sued the company last month, alleging it discriminates in its hiring practices against refugees and people granted asylum in the U.S. Unlike SpaceX’s suit – filed in the Southern District of Texas – the DOJ suit was filed within a division of the agency that adjudicates immigration cases, a key point of contention in the company’s response.

“SpaceX has not engaged in any practice or pattern of discriminating against anyone, including asylees or refugees. To the contrary, SpaceX wants to hire the very best candidates for every job regardless of their citizenship status, and in fact has hired hundreds of noncitizens,” SpaceX’s counsel, Akin Gump Strauss Hauer & Feld, wrote in the complaint filed Friday.

SpaceX’s suit names a trio of defendants, including U.S. Attorney General Merrick Garland.

Sign up here to receive weekly editions of CNBC’s Investing in Space newsletter.

Central to the dispute is whom the company can hire under military technology regulations, specifically given how rocket and spacecraft tech falls under International Traffic in Arms Regulations (ITAR) and the Export Administration Regulations (EAR).

“Every SpaceX employee has access to technology and data controlled by these statutory and regulatory regimes,” the company wrote in the countersuit.

Founded in 2002, SpaceX employs over 13,000 people across the U.S. In its response, SpaceX alleged it has “hired hundreds of noncitizens, including hires who were not U.S. Persons under” ITAR.

“Throughout its rapid growth, SpaceX has always sought, and continues to seek, to hire the most talented people possible,” the company said.

In recent years, SpaceX said its job postings averaged more than 90 applications each – and over 100 applications for each of its engineering positions. SpaceX’s hiring tops the acceptance rates of even the most selective, elite U.S. colleges, as “only about 1% of applications result in a hire,” according to the company.

The DOJ has been investigating SpaceX since June 2020, when the department’s Immigrant and Employee Rights Section received a complaint of employment discrimination from a non-U.S. citizen.



Source

Sen. Warren blasts CFPB director for undermining Trump’s credit card affordability push
Business

Sen. Warren blasts CFPB director for undermining Trump’s credit card affordability push

U.S. Senator Elizabeth Warren (D-MA) and Director of the United States Office of Management and Budget, Russell Vought. Kevin Mohatt | Kevin Lamarque | | Reuters Sen. Elizabeth Warren on Friday accused the acting head of the Consumer Financial Protection Bureau of undermining President Donald Trump’s stated push to make credit cards more affordable, according […]

Read More
Why a niche category of CRE lending is suddenly seeing record deals
Business

Why a niche category of CRE lending is suddenly seeing record deals

Wepro | Moment | Getty Images A version of this article first appeared in the CNBC Property Play newsletter with Diana Olick. Property Play covers new and evolving opportunities for the real estate investor, from individuals to venture capitalists, private equity funds, family offices, institutional investors and large public companies. Sign up to receive future editions, straight […]

Read More
What obesity drugmakers see next in the market: More pills, easier access and drug combinations
Business

What obesity drugmakers see next in the market: More pills, easier access and drug combinations

A pharmacist displays a box of Wegovy pills at a pharmacy in Provo, Utah, Jan. 15, 2026. George Frey | Bloomberg | Getty Images The future of the booming obesity drug market won’t hinge on drugs that deliver greater weight loss alone.  Top executives from drugmakers big and small told CNBC that the next phase […]

Read More